***UPDATE UPDATE UPDATE ***
good news....kinda, but more bad.
good news is this, my mechanic found out the problem, which is the pin that holds the cam gear to the cam shaft broke, which allowed the cam to spin 180 degrees from where it should be. which explains why when everything was lined up on the marks, it still wouldnt run right, because the driverside cam was 180 degrees from where it should be.
another issue was the the bearing surface between the back driverside lobes was rough and scarred due to oiling problem. i havent looked yet, but i think this is a problem that others have had with the engine failure....or maybe it was the back driverside piston.
more good news is that cam, and other related failures are covered on my warranty, (from reading the brochure, havent talked to a rep yet) so thats good too.
bad news is, its already been two months already, and it looks like its going to be atleast a few more weeks before i will get it back.
my mechanic said he is looking at very least, getting a new head, and maybe a new engine. he said also that some warranty companys will replace the engine with used engines, instead of new ones. i told him to push for as much new stuff as he could, obviously.
soooooo, im sure i will be talking to merlin here pretty soon..
wish me luck, and thanks again for all the help.
if nothing else, i got an excellent write up on how to install a timing belt from a very qualified isuzu person, which i will post up soon.

thanks again peeps,

david