Okay so after working with Flibnipktz on his issue it was determined that there was something else "at play" on the site. It was an issue that would have followed him to a new host most certainly however this was not related to his email problems from what was seen. I will get with him tomorrow to see what specifics he will allow me to share if any, after all that's his prerogative on what is to be disclosed regarding his site.
Edit: As mentioned below by Flibnipktx, his site was hacked and some valid files replaced with files of the same name containing nothing but base64 code.
What I found odd was the fact the files replaced, must of had very similar "default" vBulletin code in them because they functioned as normal (example image.php was all encoded/payload/base64 and with different timestamp) despite having the following contents:
PHP Code:
<?php 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I found eerily similar listed on Securi's site with a good explanation as to what this file can do and long story short it wasn't good at all.
After removing all malicious/infected files and overwriting all files and ensuring it was up-to-date everything seems to have resolved itself.