Try taking all the spacers on the inside out, Or atleast leave the 'half-circle' ones in so you have some pad movement. Also, what's the spring tension like? As that can move the arms out a bit.. On my rear vee, i've got the springs on the bottom holes, so it feels all loose and nice. Then the spring tension screws are set-up just to align the caliper properly. Any chance of some better pictures? With the focus so out on the caliper, it's hard to see how it's all set up... EDIT: Oh, and clean that shit off your tyre!