IT WORKS!!
Fault was traced to the Kerosane solenoid. The solenoid sticks under heavy pressure from the pump, thus shutting down the turbine when it accelerates.
We replaced the valve (luckily we have two kits :-)) and WOW. 117,000 RPMs of noise heat and thrust. We had to call it a day at 10:30pm in fear of the neighbours. We set acceleration in the ECU to 6.0 seconds and in practice it was about 8 seconds idle-full RPM but we have a couple of parameters we need to go through before we actually get the engine in tune.
Now all we need to do is mount the engine and go fly.
Nir