@Marc
I'd read that too, but that doesn't mean that the Institute [now under Navy control] didn't leave behind a few psions as instructors to keep an eye out for personnel who might fit the bill for training. A lot of authors have hinted at Imperially-authorized psion organizations, from the Order of the White Star /Order of Arbellatra to Omicron Division in MgT's Ancients series.
My IMTU take on the whole Imperial psion thing is very low-key. To whit:
- Psions are not recruited to invade minds or any of the other Dark Imperium violations. First and foremost, psions are usually serving officers who have been indoctrinated in loyalty to the Imperium and the Iridium Throne and the ethics of Imperial Naval service. They are as trustworthy as a human can be without Zhodani Tavrchedle' intervention;
- Psions are given a free and informed choice to be a psionic officer. Once tested, they may choose to be trained or they can have limited lobotomy that renders them 'non-psionic'. After psionic training their career is in the Intelligence field with detailing as INI officer. As career Intelligence officers, it is highly unlikely they will ever get command of a ship and/or reach flag rank.
- Given the rarity of authorized psions, such officers are sent where their talents are needed. Telepaths and clairvoyants are usually given investigative assignments, teleporters usually get retrieval jobs, etc. Most of the time, these assignments are not on fast-promotion tracks.
- Psion officers are monitored the rest of their lives. In the Spinward Marches, it is Station Wypoc's policy to install a chip in psionic officers that has a timer. If the timer is not annually reset the chip shorts out the frontal lobe... with predictable results.