[hardk0re]

I don't think white smoke is good... Does this have a water jacket? (coolant lines into the Turbo?) I suspect a leak of coolant into the turbo or oil into the turbo. I had an issue with my 1st turbo setup where the oil return was backing up and i had smoke out the exhaust. Check the oil return that it is as straight as possible without any dips, also maybe even try running the turbo without coolant connected and see if this helps.

What turbo is it anyway? Where did you tap the oil feed for the turbo, was it off the back of the block or at the head? It is also possible that oil is blowing past the seals in the turbo due to pressure. Some cars have this. Is it a T28 or T25 turbo?