Turbo shaft play tolerance, housing clearance
 

Got my rebuilt stock turbo back, came off of a 87 rx7. Turbo was machined with larger wheels.
How much play from side to side is acceptable on the compressor side?
The side to side movement is 3/64 of an inch or .046 plus. No front to back play. Also when I turn the wheel with a little side pressure I can hear the wheel rubbing lightly on the side of the compressor housing. The blades I can see do not rub but it must be an area I cannot see.
The wastage was supposed to be ported but was not.
Should I send it back to them? Is that too much play? This is the second rebuild- the first one only ran 120 miles and the nut came off- probably compressor surge- could that have damaged the bearings?
Thanks