How many miles driven since purchased? Is this 500 or 5000 miles?

The presence of oil shouldn't make the charge pipe more likely to blow off. Perhaps it had been removed previously to check for oil and wasn't properly re-connected. Did the charge pipe fail or was shop able to simply reconnect?

I think I'd have a chat with the previous owner.

I would re attach the charge pipe and re-test everything. Turbo failures on stock engines are pretty rare. Lots oil in there and the IC is normal. Did you have any smoke coming out of the exhaust? For failed oil seal in the turbo, you may see smoke.

I would be inclined to have it inspected by the dealer first, not all independent shops are created equal.

I bought the car with 37.9K miles on it. It recently passed 40K miles, so I've put about 2K miles on it without incident. From all the service records, and from speaking with BMW and his indy shop, there is no indication the previous owner had any problems with the car other than routine stuff.

What's happening now that the charge pipe is reconnected?

With the charge pipe off your seals will leak more oil because the pressure differential between exhaust and intake will push oil towards the fresh air side of the turbo.

I am confused at how a bad turbo could blow off the charge pipe. If it's damaged it would not be able to produce boost well. I'm thinking you had a partially connected charge pipe which caused more oil use until it popped off, which lead to limp mode and codes.

(With a boost leak, the exhaust pressure becomes higher to maintain the same boost on the intake side which makes the turbo oil seal leak to the fresh air side. )

Here are the codes (these are handwritten, so a digit or alpha letter may be off):

36FO -- ECU main relay
2C57 -- Charging pressure control
2906 -- Intake -- suspect leak between turbo and intake valve
2774 -- possible mass air flow sensor
277C -- mass air meter operating range

ABS:

6EC4 -- steering angle adjustment
6E09 -- EFM interface

Handwritten comments:

--Turbo is leaking lots of oil

--Charge pipe with coupler from turbos to intercooler: Broken

Here's the thing: This is a major catastrophic failure for a car with only 40K miles on it, and which by all records, has been well maintained. What gives, BMW?

cant find anything

Update: I sent a long complaint email to BMWUSA Customer service. Told them I realize car is out of warranty, but they should stand behind a failed turbo at 40K miles.....at least, pay for the parts. BMW did buy me a new sunroof cassette ($4,600 parts & labor) when my 1st gen X3 kept getting flooded every time it rained. Car was out of warranty too, but it's a common problem. Anyway, didn't get anywhere with them on the turbo. $4,600 later, and I've put 1,200 (so far) trouble free miles on it since the turbo replacement.

Did you just write an email to BMW? Or did you have the BMW dealership try and press for goodwill?

The former almost never works.