"it held pressure" ? Hu?
If you mean it "had sufficient fuel pressure output" ...then yes, it will. But the diaphram that seperates the fuel from the oil is leaking through (oil is getting to the fuel inside the pump prior to metering) so the end result is a heavy oil mixture being delivered to the carb bowls at all throttle setting, the slower fuel moves through the pump the richer the oil mixture will become.
No other situation exists on that motor that will cause it to over-oil (which is what it was doing IF you were surrounded by a cloud of blue smoke at everything under mid-range throttle settings, like you said).
I'm not trying to bum you out, and I mean no disrespect to your tech, but before your motor is "right" you WILL BE buying a VRO kit. I guarantee it.