UPDATE:
Just want everyone to know, that the loan officer has been fired! The branch manager called me 2 days ago to tell me that the moron got fired and that his arrangement with the builder has been terminated as well. So what ever incestuous nonsense was going on there has been completely obliterated.
This would have been the fourth bank this guy had been through as the "Personal Preferred Lender" for that builder. And now that relationship has been severed.
I've been given a new loan officer from this bank to deal with and both he and the branch manager have been AWESOME at communication and promsie me that there will be NO hassles going forward on the loan.
What a relief!
Thank you guys here for all your advice and support. Its obvious this guy was a sketchy jerk, and you guys helped me realize that, and apparently, finally so has everyone else!
Awesome! 
So happy for you...
I am glad you posted and update. I was thinking about this post today wondering waht your result was. I am glad you have found a good solution.
Thank you for checking in. The new loan officer called me today at noon from the bank (on a saturday) with the underwriter sitting next to him, and asked me for some paper work, and to sign a loan extension, since the previous application had expired.
I sent it back to him and they got the file prepared then and there so I can be wrapped up first of next week.
The new guy is awesome and the bank is going to great lengths to make this right.
Feels good
