IMO...
No, you have not been "removed from flight status". Everybody understands in this industry (in the US) that flight certification and medical certification are separate tracks.
Honesty is probably best. It will be fairly obvious anyway since you had a flying gap but stayed with the same employer afterwards (ie, not fired). The fact that the condition is resolved and not problematic is helpful, that should hopefully put to rest any lingering concerns.
You do not have to discuss medical details with a recruiter. Whether you discuss the details or not should depend on the nature of the condition. If it was an injury which healed (ie nothing wrong with your genetics) I would probably just tell them. If it was congenital, or something which might never fully heal, you might want to be circumspect. Basically what will cause the recruiter less concern: Knowing what happened or not knowing?
Good Luck.