Eseries ABS Speed Signal Fault

Sounds familiar. Had a similar issue on my old BMW 3 series. ABS light, traction control going nuts. Ever check the wheel speed sensors?

Sensors seemed fine on initial check. Could a faulty control unit mimic sensor issues?

Possibly, but in my case, it was cheaper to start with the sensors. It was cheaper than a new control unit. However, since the diagnostics pointed to a control unit, I would recommend you go to the workshop. That was the final solution for me, after changing the sensors

Appreciate the insight. I bit the bullet and replaced the control unit. Cost around 1000€, but everything's back to normal now. Thanks for confirming my suspicions.