I certainly feel bad for the WINT folks, but whatever their late engineer was selling them, it sure looks like snake oil.
As for the request to use the translator without the AM, the FCC has been extremely rigid about this particular set of rules.
Best as I can tell, the Commission has never approved such a request, and for a good reason - it opens a huge can of worms by setting a precedent for potentially thousands of AM stations to make a similar request.
The official FCC position is that as soon as an AM license is completely off the air (even if it has an engineering STA), the translator MUST also go off.
We know that many AMs keep their translators on without telling the FCC, and generally tend to get away with it.
This case may not end well for WINT, because now they've gone and admitted to the FCC that they've been running the translator without the AM being on the air, which for now is still extremely against the rules.
So even if the FCC were at some point inclined to open the floodgates for these applications, this isn't the way they'd want to set the precedent, because it would appear to reward a station that's been openly flouting the rules.
If there's ever going to be a change on this, it's much more likely to come from a formal rulemaking proposal than a one-off waiver request.
I think WINT is just in a really bad place here.