I m back after many months but I found the issue... Finally took the heads off, was expecting a clogged check valved on Bank 1 but the one on Bank 2 was stuck open with a piece of chain guide. Being open all the time and being on the same side as the oil intake from the filter, the oil took the least path of resistance and didnt have enough pressure to open the valve on bank 1... resulting in low oil pressure on bank 1, tapping and timing issues since it all depends on oil pressure...
$12 valve = 30hrs of labor and months of research.
I remove the entire engine/trans/trans case front end assembly. Will to the front drive shaft,longer splines and transfer case chain...Trans bushings and gaskets, clean her up and hopefully drive it again!! had to buy a Toyota in the meantime to drive to work, the VW bus was getting cold in the winter...

Anyways today is a big day!!!