Joe, Did you ask about the relationship between the two non-english speaking guys you saw at the job, and the EC? (You mentioned them in the Pictures Posting) They seem to be your main issue with the job. I see NO code, or for that matter workmanship issues with the job. (Unless you have local code that says specifically, that SE can not be under a finish.)
The two guys could have been anyone... The painters, rockers, landscapers, the GC's employees, relatives of the owners... They could be anyone! IMHO you are a little too suspicious about their presence! Even if they were legally employed by him, there is still nothing wrong with that.
Now, if you had witness to them doing the work, and they were not legally employed by him, that would still not be a workmanship issue, or a red tag. That would be an employment law/licensing issue.
