George:
Of course you are right. I should have been more clear in what I wrote. Oil is coming into the air cleaner from the inlet breather. It also appears to be coming up out of the (correctly installed) PCV valve or hose judging by the pool of oil in the intake manifold pocket next to the valve and below the hose.
I have read elsewhere that one of the classic symptoms of a defective PCV valve is an oil-soaked air cleaner. I did the old shake test and the ball rattled around nicely, but I have also read that the shaking test is not definitive, and so my next step is to replace the valve and hope like hell that fixes the problem.
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