1986 300E Main pulley out of alignment
 

Seems that the main pulley is off center and tilting to the left side just enough to rub and scrape on whats behind it. Metal shavings are flying out of the side of the pulley like popcorn and it clearly wearing away on its side. Anyone had this kind of problem. Belt is tight, maybe too much? I don't know. Can the pulley bolts come loose and cause it to drop off center alignment?
Appreciate some input here.
Thanks,
Mike Brennan
Brunswick, Ga.

Assuming you are talking about the idler pully, this pully is designed to flex a little. Otherwise, it would come apart w/the torque from the belt. However from what you describe, I would guess that the belt is too tight and the pully is now toast. There should be just 1 hex screw that mounts the pully to its bracket. It is possible that it has come lose, but not likely. Get a new pully and leave the belt w/a slight amount of slack -just enough that you can push the belt at the longest place about 1".