Type checker barfs on nonsensical expression

I got the infamous "impossible bug" by trying something nonsensical in my program. I reproduced the bug in the attached minimal program (18 lines). The precise error message is:

Impossible.hs:18:5:
    Couldn't match kind `* -> *' with `*'
    Expected type: [Char] -> ZT IO ()
      Actual type: [Char] -> ZT IO ()
    Kind incompatibility when matching types:
      [Char] :: * -> *
      [Char] :: *
    The function `lift'ghc: panic! (the 'impossible' happened)
  (GHC version 7.6.2 for i386-unknown-linux):
        kindFunResult ghc-prim:GHC.Prim.*{(w) tc 34d}

Note that this error occurs whether on not the MonadTrans instance is there.

Trac metadata

Trac field	Value
Version	7.6.2
Type	Bug
TypeOfFailure	OtherFailure
Priority	normal
Resolution	Unresolved
Component	Compiler
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