How would i check to see if the fan clutch is functioning properly?
The fan should spin (freewheel) easily when the engine is cold and be very hard or impossible to spin when the engine is hot.
I would also check cam and ignition timing and check for a plugged catalytic converter.
I have no experience with the Toyota turbo's, but I did have a 87 Subaru XT turbo and the exhaust manifold on that thing would always be glowing after extended highway driving. The dealership mechanics told me that was normal on those turbos.