Hi Ira, Found out the mail is being recovered, but in an invisible folder named com.apple.mail.backingup.mbox in the mailboxes folder. I can get them if I set up a smart mailbox (found out about this on some site that I can no longer find)
Anyway have a senior techs at apple working on it and will report back when I get the info. Tried making it visible and changing the name to Time Machine on a clone, but it didn't work. Also at there suggestion, reinstalled the system and that didn't work either