RE: Engine con rod rubbing
That's what it sounds like to me...
Can you put a dowel or brass drift, etc. in the induction passage and try to tap it w/ a small hammer to possably push the crank back into it's proper position?
Only other thing I can think of is it got shifted back during a clutch/flywheel change, or it was made with a crankpin that's a little bit too long???