are you saying that I am the cause of the damage!!!!

You are right

HEHEHEHE
Well after some time thinking of what could have been the reason for this damage, I have found that the cause is very simple: "Power Launch".
when I would get ready to run with another car, I would lock the brakes, start to accelerate the engine to charge the turbo and to load the torque converter for an extremly fun launch off the line

(this is how I would launch my Camaros). It looks like this converter is not made for the horsepower that the engine can produce or it is at the borderline. It looks like any minor mod to the engine will make you have to forget about power launches and just floor it from idle and wait for the turbo to catch up with the engine.
It was explained to me by my old school racing teacher that:
"The reason that the converter failed is because, the engine is trying to move the converter internals, like it should, and the brakes are to powerfull and are keeping the transmition internals stationary, creating a 200+ horses clash inside this little part. In the good o'l days, this was no problem because the power was going to the rear wheel were you had crappy drum brakes that could let the tires spin with no effort and let all those horses move allong the power train."
I was convinced with his teachings.
No more power launches for me.[B)]
BTW, although I was the Hallman Controller Pioneer, I have removed it from the car and now I am seeking a new controller path with a more controlable boost settings. I Think I have found the answer in electronics. Once I have finnished the research I will show you my findings.
Ian