02 Grand Cherokee 4.0 WJ. Clunking from tc but it’s not the tc. Help

I’m sorry but I could really use some help right now. I have an 02 Jeep Grand Cherokee 4.0 with quadra trac II. The transfer case is a model 247. It is full time 4wd.
I have a problem with some serious grinding and clunking while turning. So I changed out the hub assemblies on each side in the front and checked the CVs which were ok. That did not resolve the issue.
I put the car up on the lift and put it in drive and when the transfer case kicked it into 4WD to turn the front axles it makes that same noise extremely loud. The noise almost goes away when the car is on the ground which may be a clue.
I figured it was the transfer case so I went and got another 247 and swapped it. The problem still persists. I don’t know what to do next. The problem still persists whenever the front kicks in the clunking / grinding kicks in with it
I love my Jeep even if it costs me a small fortune. I’d hate to lose this one as I’ve put insane amounts of hours into getting it where it is now. Also my son would rather drive in the WJ over a brand new 4Runner
Please help me out. I’m sure many of you pros have ran into this issue before.
Thanks in advance

 

Are you using the correct fluid in the transfer case? May need friction modifier in the front differential if it’s a posi

 

Welcome to the forum @Jaydubnj . From NJ?
Im not sure I can help. Im no Pro. But a few questions come to mind.

And if I'm reading your post correctly. It only happens when your turning??
Where is the noise coming from? Engine compartment? Under carriage? Front end? Pumpkin?
What made you think it was the TC?
Any recent mods to your drive train? Steering components?

Much more knowledgeable members than me I'm sure will jump on. Sit tight.

 

I am thinking you have vari loc difs anyway removing front cover to insp is suggestion.

FRONT AXLE
² Lubricant is SAE 75W-140 SYNTHETIC.
NOTE: Trac-lokT and Vari-lokT equipped axles
require a friction modifier be added to the lubricant.

VARI-LOKT
(1) Park the vehicle on a level surface or raise
vehicle on hoist so that the vehicle is level.
(2) Remove the axle fill plug.
(3) Verify that the axle fluid level is correct. The
fluid level is correct if the fluid is level with the bottom
of the fill hole.
(4) Shift the transfer case into the 4WD full-time
position.
(5) Drive the vehicle in a tight circle for 2 minutes
at 5mph to fully prime the pump.
(6) Block the tires opposite the axle to be tested to
prevent the vehicle from moving.
(7) Shift the transfer case into the 4WD Low position
and the transmission into the Park position.
(8) Raise both the wheels of the axle to be tested
off of the ground.
(9) Rotate the left wheel by hand at a minimum of
one revolution per second while an assistant rotates
the right wheel in the opposite direction.
(10) The left wheel should spin freely at first and
then increase in resistance within 5 revolutions until
the wheels cannot be continuously rotated in opposite
directions.
(11) The Vari-lokt differential has engaged properly
if the wheels cannot be rotated in opposite directions
for a moment. After the wheels stop rotating for
a moment, the fluid pressure will drop in the differential
and the wheels begin to rotate once again.
(12) If the system does not operate properly,
replace the Vari-lokt differential.

 

It looks like you should have an open rear with Quadra trac 2. (Front differential) is the from drive shaft in good shape? How about the repezza joint. My son and I replaced the transmission in our 04 overland 2 weeks ago. We had a loud noise coming from the middle of the dash. The noise went away when we removed the front drive shaft. Drove me nuts! Turned out to be the transfer case shift cable rubbing on the front drive shaft. The noise was very loud . Couldn’t believe it was something so simple! I put a wire tie on the cable to raise it up a little and fastened it to the transmission cable bracket. Keep it away from the drive shaft. Not saying it’s your problem, but for the two minutes it takes to check and fix . I didn’t even have to jack it up. I’m a Jersey boy myself!

 

IDK why I focused and added info on front diff OR why I suspected vari loc.... must be a crossed thought or project i am dealing with something caused the idea and not a bourbon in sight