Which story was this? I skimmed the articles, but didn't see this story described (and am far too lazy to actually read the articles in full).
Also, I don't know about whether punishment is fair, but it's certainly not fair to the student to ask them to find another advisor. An academic advisor isn't something you can change like a pair of shoes, and requiring a change can have an impact on your academic career.
If the man had serious problems with the idea of continuing working with her, that sounds like a mental problem on his part. Maybe the solution is to find the student another advisor, but to simply say "you're too sexy, out of luck" is the wrong way to frame it, even if it leads to the same outcome.