Has anyone encountered this strange rule anywhere?

[KiwiMark]

Playing NL Hold'Em live tournament at a pub, freeroll with bar tabs to win for 1st and 2nd. Self deal, pretty amateur, but is an organised national league (New Zealand).

The situation:
SB 500
BB 1000
UTG Calls 1000
Next player all-in for 1100
Next player after that told that he has to put in 2000 to play as the all-in has raised and it needs to be considered equivalent to a valid raise.

I would have expected to be able to fold, call the 1100 or raise to 2100 (or more). But to be told that I must Call 2000 or raise to 3000 or more, WTF?

Now this league claims to base its rules on Robert's Rules, though they have a list of rules on their site, with a few different rules to suit the amateur nature of the players, but they list no rules covering this situation.

I sent an E-Mail asking about the rules in that situation, thinking that the host at that venue was in error, but the national organiser says "no, that is the rule".

I sent an E-Mail to Robert (Bob) Ciaffone (author of Robert's Rules) and described the situation, he said that you are always allowed to just call the all-in and suggested that "someone is nuts".

I sent another E-Mail to the national organiser who claimed to not care what me or my mate Bob said, the rule would not be changed, nothing was wrong with the rule, the rule is commonly used online and at casinos, the organiser has worked in Vegas and seen the rule there, ...

I am thinking: WTF! This is a crazy rule, opposite to what I have read in any version of Robert's Rules, I have never seen this rule on any online poker site, the rule is not even written in this league's own website. I am strongly suspecting that the organiser has actually seen this rule in Limit Hold'em (where over half a bet all-in must be met with a full bet) and that it is not used in NL Hold'em anywhere.

But of course I have not been over to Las Vegas and don't have the experience to back me up, so maybe some of the forum members can shed some light on this, has anyone come across this ruling anywhere? If so then where was it and do they have the rule written down somewhere?