......this person must have put all of their chips in their pocket, because, according to the narrative, if a player put a few chips in their pockets, those chips would be conficated and the person would be allowed to continue playing.

In this case, the player was DQ'd. Now you will get no argument from me, if you are gonna play for 10K, you darned well ought to know what the rules are, but I can't help to feel bad for this person, as it does NOT look to me like he/she was a)chip passing or b)chip harvesting.