When are you finally going to give up on this?

I wonder what this would look like if you opened the character in something like hero editor, perhaps it would yield a clue on fixing the issue if you could reproduce the bug on a locally saved file?

it would simply show that charm on the field to the right that says "Item Picked Up"

Pre cast is for gays.

This still wasn't solved?
I don't think blizzard would do anything as blizzard north is different company to blizzard and they don't even have all the files and access to files iirc.

Another longshot
MedianXL admin has every file blizzard north had and access to all of them. He literally has higher access to existing data than current blizzard team.
You could, in theory, get in contact with him through medianxl discord/forum and see if he has a solution in his pocket for this.

Surely there's something in the character's hex code (which can be seen/altered in the "extras" window under "Character Hex") that keeps the item from being dropped in-game, though. I'm thinking if there is any way to undo this, it probably starts with understanding what causes it through that. IDK if it's even possible to reproduce that aspect of the character's file without direct access to the actual character file itself, but it'd probably be interesting to compare it with a normal character with the same gear/stats.

Not sure, I do know the game is pretty good about abnormalities and FTJ'ing corrupt files though, so it's weird this character even bypasses that and gets into game. Typically if there's anything even slightly off in the character hex you fail to join game all together.

Sad

Funny how much support u got too on here. If those guys can't solve it I don't think anyone here can laz knows a thing or two about the game

Rip