ok update on this. bit difficult doing this post because I don't like to admit when I fail. but I figure maybe others can learn from my mistake.
it seems me blaming the previous owner of the engine may have been a bit short sighted. I have already txt him already to apologise for asking him if he had sold me a dodgy engine. he was cool about it.
When I had the sump modified it turns out the pickup pipe was the wrong length, its very close to the bottom of the pan, although it isn't touching it so some oil was getting round where was only a few mm of clearance when I needed a good 10mm. when I took the sump off I found tiny flecks of metal in the sump so I think I may have destroyed a bearing, if the US Spec cams are scored then I will be so

, I will have to take them out to check them properly, im actually a bit scared to look lol.
You know for the last few days I haven't been myself, I cant seem to get rid of this disheartened feeling, I only get that when a mistake is made that I could have avoided. Before I put the engine in i should have measured the clearance. then I could have had it fixed before it came a problem.
Rest assured I have learnt a valuable and expensive lesson, always double check stuff you have had fabricated when it comes back. What I think happened is that the fabricator must of not lined up the spare oil pump I gave him very well or maybe his jig moved when he was welding?
This is the debris i found in the sump, there wasn't any bigger bits then this i think this is bearing material from the colour of the flecks.
modified pickup
I stuck a 10mm thick block of old claybar i had on the bottom
here's how it looked when i stuck the sump back on
So I went and bought another 2.8, this new engine has a ported and polished head with bigger valves and all the lifters are brand new, even has an MLS gasket on it. This cost the previous owner over £1500 (the lifters are about £20 each and there are 24 of them!). the dyno graph with a basic m50 intake and no other modifications show a healthy 237hp which is a good 20hp on top of what you normally would see with just the intake and a remap.
I'm going to fit this engine and at least try and enjoy my car this year, then in the winter comes ill take it out.
I have a spare 330ci block with a blown head gasket, ill remove the crank rods and pistons from that engine, fit that stuff with new bearings, pins, rings and mains into this damaged 2.8 block, use the ported and polished head on from the new engine, fit the us spec cams, m50 inlet (or maybe a custom alloy one) and the big bore throttle body, maybe ill end up with about 280 / 290hp?
Maybe your thinking perhaps it would have been easier just to stick an s50/54 in, maybe that's probably what it will have cost in the end. My thinking is that I want to retain the -50kg weight saving from the alloy block as it really does make a big difference to the handling in an e21, and I just want a fully rebuilt engine with 0 miles on it even if ill end up with near enough the same power as an s50.