So if a register overflows (and is truncated) "twice" by the same element before the base register (B) is increased, then after B is increased, the overflowing register is not increased and so appears not to have overflowed. On the other hand, if that element shows up in the stream once before and once after B is increased, the overflowing register may overflow again.

This makes even the MLE procedure partially incorrect in the first case, since it is the maximum likelihood estimation of a set of hashes in which the register discussed above did not overflow.

Is that about right?