If the neck has a rosewood or ebony fretboard, my guess is the tech may have deeply oiled the fingerboard in an effort to make it more pliable, and thus allow the rod to more easily adjust the neck (assuming the "stripped" nut could allow this).
I have never heard this term either, but over the years I have had to oil fingerboards (especially slab boards) to help truss rods overcome their resistance. At no time do I recall ever having to bathe them in oil.
If the neck is very straight, you usually have to raise the action a bit to allow string clearance.
Good luck!
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