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That happened to me on first install, Fix Permissions sorted that. I presume you've done that already though.
Do you have Widgetlocker installed too? Is that active? If WL crashes for me or isn't running, my screen won't lock.
I've had a mess about and I can't see anything that would clear the default for the search button.
If you head to Settings -> Absolution Tools -> CyanogenMod Settings -> Lockscreen, is there nothing in there that helps?
Settings -> Absolution Tools -> CyanogenMod Settings -> Tablet Tweaks, is the lockscreen disabled there?
Make sure you are running the latest release v3.7, has some bug updates. Sorted a couple of UI issues I was having.
worth noting that it is still working fine today, so I'm guessing flashing over the top works (for 24 hours at least).so thought "I'm backed up, what the hell..."