Tapping noise from engine

[Sollie]

Hello folks. Wondering if someone can help me. I recently purchased a 2004 S type. The car was advertised as being in good condition apart from the slight tapping noise. I emailed the seller who advised that the noise went away after a while. Picked up the car and to be honest everything worked perfectly apart from the tapping noise. I took it to my local garage and the as soon as he heard the sound told me the pistons have gone and I would need a new engine. Well that was a shocker. I decided to get a second opinion and went to the local Jaguar dealer who also said the same thing. Contacted the guy I bought it off who told me he had done some investigation and quote " the engine tapping and pistons do not make that noise when you get a piston go you get a missfire and smoke,ive been told its either a big end tapping in that case you need new shells,or a hyd tappet sized and would need a new one,deff not a piston as the car wasnt misfiring,or smoking"

Now wall this sounds alien to me. I have told the guy I want my money back, but I must admit I do like the car and have thought about changing the engine. What would you folks suggest.

Appreciate any help/advice.

Thanks

[Sollie]

Sorry wanted to add there is a lot of oil leaking on the underside.