But you're inferring that just because its a developmental league, there should be complete competitive parity. In any league, developmental or otherwise, there will be a kid who is the most skilled and a kid who is the least skilled. If this kid moves up, there will be another who will be the most skilled in the league.
So you promote the kid. You don't punish him. When you punish him, you're sending the message that to be exceptional is not a good thing.