I can see the bent vane ends in your original picture now. You may find the turbo oil piping is obstructed with carbon like debris.
Read through these before going further:
http://www.aussiefrogs.com/forum/citro%EBn-forum/109484-c4-turbo-failure-not-another-one.html
http://www.aussiefrogs.com/forum/citro%EBn-forum/109727-c4-1-6-hdi-turbo-rebuild-pictures.html
Read through these before going further:
http://www.aussiefrogs.com/forum/citro%EBn-forum/109484-c4-turbo-failure-not-another-one.html
http://www.aussiefrogs.com/forum/citro%EBn-forum/109727-c4-1-6-hdi-turbo-rebuild-pictures.html
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