I believe frame leakage protection is a method of detecting a ground fault in equipment by isolating the enclosure from earth (ground) and making a single connection to ground through a current tansformer. Any fault in the equipment or any ground "leakage current" from the energized parts to the equipment frame or enclosure causes a current through the CT and activates the ground fault relay.
This protection is IEEE standard number 64 or 64G. I have only seen it applied on old (1950's) transformers and large rectifier enclsoures. Some utilities put a CT around the support post for high voltage instrument transformers or live tank circuit breakers. The CT can measure deterioration or surface leakage across or through the procelain insulator.
Note that this method does not violate code because the equipment is bonded to ground through the CT. However, it is difficult to maintain that single point enclosure grounding. Any conduit connection, anchor bolt, or installation brace fastened to the enclosure shorts out the protection.