[Stoneguy]

Ok problem solved!

I dismantled the entire console area and shifter mechanism.
Was full of dust and crumbs. Cleaned everything.
Disconnected all electrical connectors and removed the circuit board that wraps around shift lever under cover.
Sprayed all pins and connectors with electronic contact cleaner.
Also noticed that over the years, the "Sport" button and traction selector had been gummed up from misc. drinks and coffee spills. ( Cup holder is right behind)

After soaking plastic parts in hot water and cleaning everything and reassembly,

Everything is working perfectly now. Don't know exactly what it was, guessing electrical connection issue, but it did the trick
The funny D is gone, sport mode works, manual works and my gear indicators are displaying fine.

Just wanted to share my solution. Maybe someone else can find it useful.