Let me rephrase: on a default, clean Chrome install on 10.8.4, you are wrong. If you can't find some exculpatory evidence, I'm going to assume user error, perhaps in how you have your keychain set up.

Meanwhile I see no bug on https://code.google.com/p/chromium/issues/list filed today on the topic, and you obviously don't use Chrome as your primary browser, so I'm not going to worry about you. Cheers.

What possible Keychain setting could make Chrome copy a users password into a new keychain item, with a DIFFERENT NAME and give itself full access?

I can just as easily claim you have a weird keychain/chrome setting: no one else has disputed my claim about what it does, others have even acknowledged seeing the same behaviour.