managed codegen does not take into account type constraint environment properly (DepTypeInMethod1)

public class Set[T]{T haszero} implements Iterable[T] { C
        /** Return this minus all the elements in this that are not
            greater than u.
         */
        public def remove(u:Int){T==Int}:Set[Int] {
            var hasElem:Boolean=false;
            for (x in this) if (x <= u) { hasElem=true; break;}
            if (! hasElem) return this;
            var result:Set[Int]=new Set[Int]();
            for (x in this) if (x > u) result += x;
            return result;
        }
    
}