If its surging at boost/cruise, that can damage it as the turbine is bouncing back and forth.
Nope, the can is vented to your intake, so your ok there, that's how alot do it, including me, keeps the stink away.
Wow, I can't believe the coking????? Is this the same setup that's been smoking since day one? You need to check the thrust bearings, if the outer surface is speckled or damaged, its most likely dirty, if just grooved, then its an oil or balance or ? issue. It could be just one of those things that there isn't really a reason,
I had 2 turbo's let go and I still don't know why,