Read more about the situation on Philip Hersh's blog.
To summarize, Rochette is taking part in the exhibition at this weeks Thin Ice competition, skating a tribute to her mother who passed away during the Olympic Games last month. The ISU is threatening that the competition is not sanctioned and since she withdrew from the World Championships, which start the day after Thin Ice ends, they could demand for Rochette to show medical evidence for the withdrawl.
Hersh used the obvious rebuttal I had for the situation, with the ISU allowing three junior pairs teams from China to compete at the recent World Junior Championships, when only two teams qualified. I think Joannie will probably get away with being able to skate the tribute to her mother, but Hersh has it right: everyone, skating fan or not, knows her story after the events of Vancouver. It probably isn't going to sit well with ANYONE if they do in fact take away her eligibility.