this was not a part of early dive training. It would be interesting to note when exactly, it made its way into the modern lexicon.
Here is my best guess. It comes from what I once called "the reduction funnel" of education.
I described it originally in relation to a theory of writing instruction adopted by the school district I had entered. When I was told the concepts I was supposed to be teaching, I thought it was totally absurd. Mystified, I pulled down the official curriculum, a many-paged and detailed volume on the concept. I still didn't agree with it, but it made a lot more sense than what I had been taught. It was also obvious what had happened. The entire concept was pretty complicated, and in teaching it to people some years back, only a portion of it was really taught. Then those people taught others a portion of what they had been taught, and those people taught a portion of what they had been taught. Eventually the whole complex idea had been reduced to a few short axioms, and one of them, the one most emphasized, was absolutely WRONG when put in the context of the entire curriculum. The "reduction funnel" is the instructional process by which a complete idea is reduced after various stages to an inaccurate fragment of the original.
Here is the amazing part. When I showed my new colleagues that the key idea they were teaching, the golden rule of that instructional process, was DEAD WRONG in the words of the actual full curriculum, they didn't care. They stayed with that stupid rule that had been handed down by word of mouth, and demanded that all people teach it, even after they were shown that it was clearly wrong.
In the case of the mask on the forehead issue, the complete idea is a picture of the various signs that are commonly found in the case of a panicked diver. Instructional materials list a bunch of things to look for.
One potential sign of panic is rejection of equipment, usually the regulator.
Sometimes it is the mask.
Sometimes the rejected mask does not fall completely off but stays atop the forehead. Through the reduction process, at some point someone teaches that a mask on the forehead is
one possible sign of panic. Someone hearing that reduces that to "a mask on the forehead is a sign of panic." Someone reduces that to "Putting a mask on the forehead make people think you are in a panic. That leads to "don't put a mask on your forehead--people will think you are in a panic." That is an easy warning to remember, and it is then repeated over and over again to people who do not question it.
Just as my colleagues refused to change their thinking on the mindless writing rule even when shown irrefutable proof that it was wrong, this mistake has become so thoroughly ingrained in scuba instruction that it may never go away.