Found a "new" (only 240K miles) RWD to add to my stable last week - this one makes four and it's got me excited - it's a 90 780 with b230ft - first turbo brick for me - but I've got a little work to do to get her on the road.

The car appears to have been pretty well taken care of - body and interior are in very good shape. The only thing broken in the interior is a small "sensor" on the top of the dash in front of the passenger seat. It looks like a LED that is pointed at the windshield. It appears to be a factory installed part as the broken cover over it matches the interior and the cutout in the dash underneath looks like it came that way from the factory. The owners manual doesn't show it or say anything about it. Does anybody know what it is?

Although no service records were provided it looks like most service was done by dealer - all belts and hoses are volvo labeled parts and some newer parts that have been replaced (like front springs and brake pads)have volvo labels on them.

Biggest problem is that it smokes. Smoke is blue and there is a lot of it. I suspect its the turbo (TD04) - it isn't getting any turbo boost either according to the gauge in the dash (doesn't go past 12 oclock). I have changed the oil and cleaned the oil trap and small vaccuum line that attaches to the plastiic wye adaptor that is similar but smaller than the one that holds the flame trap on the NA engines - was badly needed - small vaccuum line was solidly packed with crud.

I have also taken apart and cleaned all of the air hoses from the air box to the turbo, from the turbo to the intercooler and from the intercooler to the throttle body. Also cleaned the intercooler out. They were all pretty clean and only about an ounce of oil was in the intercooler.

The throttle body was badly in need of cleaning and I removed it and cleaned it up well.

The car idles smoothly and even idled smoothly without any of the turbo hoses attached - just an open throttle body. Throttle body was not taking in much air when I had it idling like this - it was sucking well through the IAC valve. The turbo charger did move air through it when idling like this - I could feel warm air being discharged from the open turbo outlet - since I'm a newbie to turbos though I really don't know if the amount of air being discharged was proper or not - seemed about the same as a hairdryer - of course there was no resistance and this was at idle (about 7-800 rpm). How much air should it move? Any suggestions for anything else I should check before taking turbo off and having it rebuilt? If it does need to be rebuilt any recommendations for where to send it?

Thanks for any help you can give!

Jim