This bit of code is incredibly suspicious. It allows fully unknown (but potentially negative) steps, but not steps known to be negative. The comment about scev flag inference is worrying, but also not correct to my knowledge.
At best, this might be covering up some related miscompile. However, there's no test in tree for it, the review history doesn't include obvious motivation, and the C++ example doesn't appear to give wrong results when hand translated to IR. I think it's time to remove this and see what falls out.