Can a loose A-Arm bolt cause damage to the bolt sleeve on the shock tower?

I recently got new tires on my 2014 Taco and the guy at the shop noticed the driver side UCA bolt was a bit loose. He said it looked like it had been that way for a while because the ends of the bolt were slightly bent. I thought "no big deal. just replace the bolt, or even the UCA in the worst case." But he said that due to the extra movement from the loose bolt it had wallowed out "the hole" so it was no longer round, and I'd have to have a fab shop fix it.

I'll be honest, I'm not as familiar with IFS as I am solid axles, so I took a look myself and for the life of me I can't figure out what hole he's talking about. The bolt goes through a steel sleeve that's welded to the back of the coil bucket. There's no hole to wallow out, unless he means the ends of the sleeve have been flared out, but I'd have to remove the UCA to see that.

I'm just wondering if anyone has ever seen damage to the bolt sleeve (or anything else) from a loose UCA bolt. Any help is appreciated!