From what literature I have, it was Porsche policy for larger things like this to be scrapped by the dealer ONCE all the proper claims paperwork was made to PNA. Once a claim was made, then the engine would have been probably scrapped or scavenged for parts by a dealer (or put into a shed in the back). They did not go back to Germany - at least the last ones did not. The first problematic 2.7s with pulled studs probably went back to Germany for a warranty study as was the policy, but after this they were 'scrapped' by the dealer. The official policy actually uses the word 'scrapped.'
