Thank you, Don. I didn't feel like going through all that again, however, I am still puzzled by something 360 said....You and I agree if the fault clears when the main is off, and he measures line to ground voltages, it isn't a corner grounded system, but, he said when its on generator, the readings are "normal",,assuming that means 277 to ground...if that is accurate, it would seem the fault woud have to be between the main and the transfer switch.
If the generator neutral is connected, anything after the transfer would result in a short.
360, are you sure the building readings are "normal" (277 phase to ground) when you are on generator ?
(edited to correct an ungodly number of typos)