How was he "waaaay in the wrong"? By forgetting his driver's license? He certainly didn't fail to produce the permit when demanded by the officer.
The guidance that we have from the AG's office is that carrying without both photo ID and your CHL is sufficient cause to have your permit revoked. Is that wrong enough for ya?
This bit confuses me, surely, by it's very nature the CHL licence IS valid identification as it fills all the requirements of "state issued" ID in the same manner as a driving licence.......?
Nope. As stated by razorback2003, the Arkansas CHL has been issued as a cheesy piece of blue paper, almost like a hunting license. The new ones have your photo on them, but I think they won't change the statute until the old ones have all expired. The licensing folks at ASP give us a refresher every year on changes in the statute, and it's always been grounds for revocation to carry without both the permit and a photo ID. I make sure all my students know this, and I'm surprised that lehcpa admitted he was carrying without both. It probably won't get you any criminal charges, but the revocation is bad enough, and it happens as an administrative process, not a judicial proceeding. Basically, you agree to abide by the conditions the state lays out and the state grants you the permit.
I know, it sucks having to have a permit to exercise a fundamental right, especially when open carry isn't legal in Arkansas except when hunting. We're getting an effort off the ground right now to remedy that situation.
Edited to add:
Again, all internet lawyering and puffery aside, if the OP wants to make a huge issue because his pride was hurt, he may be risking more than he cares to. If it comes down to it and he presses the issue, he could very well get his CHL pulled. Take my advice for what it's worth. IANAL, YMMV, and all the usual disclaimers. I'd seriously consider leaving well enough alone.