Volvo Repair: 2000 V70 Dealer blew ECM, immaculate service, o2 sensor


Question
I sent this same question to ESTES but I didn't realize he only answered questions from Chicago.
THE LONG STORY: Took my 2000 V70 with an immaculate service record to dealer because of hesitating/surging. I new there was a recall on the throttle but they said they had to clean it first since there were no codes. They cleaned it and it did the same thing and actually broke down on my wife. Took it back and they performed throttle recall. When installing the new ETM the computer locked up and they blew the cars ECM. Volvo paid to replace the ECM. Went to pick up car and Service engine light was on. Left it in the lot and was called the next day and was told the O2 sensor was bad. They told me it was unrelated and just a coincidence. I paid for the O2 sensor. Dealer told me that they drove the car for 14 miles after the O2 sensor was replaced and that no Service Engine light came on. They also advised that the transmission seemed to be slipping a little intermittently. The transmission never slipped before I took it to them. I picked the car up and got 2 miles from the dealership when the car couldn't find the right gear and the trans was shifting all over the place. The car was completely undrivable and unsafe. The overdrive arrow started to blink and the service engine light came on. I took it immediately back and was told that a TCM lock code came up. I was assured that they would do the right thing and to call the service manager on Monday. The service manager stated that the TCM locked up and the car would need a new transmission. He stated that it was not related to the ECM they blew up and that he smelled burnt transmission fluid on the dipstick. He said he drove the car again even thought the service engine light was on and that he thought we could get the car home and was drivable. He also stated that he noticed the trans (slipping) after he replaced the O2 sensor and checked the trans fluid and it was full. They are washing their hands of the entire thing. THE QUESTION: How long does it take for trans fluid to smell burnt? Service Manager said it takes a while. Could the ECM blowing out have effected the TCM, would that start burning the fluid and could that have done this to my transmission? They said they don't diagnose the trans, they just replace them so there is a good chance that the TCM is the only problem. I can buy the O2 sensor since they can really go anytime, but the transmission is hard to swallow. The car has a perfect service history with every service stamped in the book. It was exibiting no signs of a trans problem at all, just the surging and stumbling which was related to the throttle recall. Unfortunately, I don't trust this dealer. I have caught them in a few lies already by being alert and I am at a loss on what to do. Please, anybody, help if you can. I am also going to try Volvo to see if I can get anywhere with them.
As of this time, the service manager is stating that the car isn't that bad and we can take it home even though the service engine light is on, the overdrive arrow is blinking and the car won't shift into gear.  

Answer
Chris, long story but a unfortunate one.  Even though you have immaculate service records, when was the last time the transmission fluid was changed?  Volvo doesnt have an interval on the newer transmissions.  Our shop still does them every 20k but Volvo doesnt. Something must have happened when the ECU blew. There may have been a Voltage spike that killed both control units.  I have seen misdiagnosis on surging and stumbling but in actuality, it was the transmission that was spitin and fartin. Personally, I would get Volvo tech services involved and see what they come up with.  Let me know what the outcome is.  Roger