That's what happened to this one, the seals on the turbo went, I would guess the rpms went somewhere between 6000 and 9000, pretty high on a little duetz engine designed to run at 2500.
The whole thing lasted for about 30 seconds before it locked up, I'm thinking that the #4 rod bearing getting spun saved it from grenading.
Funny thing is I suggested to the boss 3 weeks ago that we should service the turbo as the machine was smoking excessively on idle, after he towed me back to the shop I decided it would be a good idea not to bring it up.