Just found some details about this at https://www.cgitoronto.gov.in/docs/1626987169OCI updation procedure.pdfYes you are technically correct but just wanted to prepare my family when they visit India if in case they had a question as why Canadian PP info was not updated on OCI.
I reached out to CGI Toronto as well and they confirmed that I can continue OCI on a US Passport or I can also get a new OCI and update Dual Citizenship (US and Canada) on it.
In case of change of nationality of the OCI Cardholder, he/she can be permitted to enter/exit on the strength of the OCI card and valid passport of the new nationality provided the new nationality is not that of Pakistan or Bangladesh. In such cases, the OCI Cardholder is advised to get his/her new nationality updated through miscellaneous services.