Hi Chris,
There are some clues to this hidden in these mantis reports:
http://bugs.squeak.org/view.php?id=1453[BUG][FIX] Drop shadows clipped incorrectly for translucent morphs
http://bugs.squeak.org/view.php?id=72760007276: shadowForm computes bounds inconsistantly.
http://bugs.squeak.org/view.php?id=33330003333: SimpleButtonMorph bug
Basically the true top left of a morph depends on its fullbounds.
Sometimes bounds topLeft is used. For scaled morphs this means the scale factor will be figured wrong.
Further I suspect the solution is tricky since fullbounds and layout interdepend on one another.
What you described sounded superficially similar. It also seemed to me something I had not seen before. The shadow offset changing with location. So if you can find a simple recipe for seeing the problem that would help track things down.
Needless to say a test that fails until the problem is solved would be a good start.
Yours in curiosity and service, --Jerome Peace