From what you are describing, I do not think that an official or coach would stop this in a match. Possibly in the practice room, depending on how practice is ran.
"Looking like a choke, but still having control of the shoulder tricep" is legal. I have seen kids get scared or claustrophobic and scream at the top of their lungs they can't breath. Well if the kid is screaming or talking, he can breath and it is not a choke. For the most part if the wrestler has an arm it is fine.
There are some front headlock situations that need to be closely monitored, but most officials will be looking for this.