No, my issue absolutely is what I reported. There was nobody around to tag anything. I was using kill mode on human mobs. No skinning. I added just one variant to the kill list because your logic kills everything from the group. When it killed JUST that variant it looted fine. Whenever it killed a different variant it wouldn't loot and move on. The moment I added that variant to the kill list, it looted (INSTANTLY) and moved on. This happened a few more times until I added every variant in the area in addition to any named NPC's that I might kill. Each time adding them to the kill list instantly allowed the bot to loot. Once everything was added the stand and wait behavior 100% came to a complete end.
Maybe, just maybe, this is the issue you've been banging your head into regarding tagged mobs?