Thanks. I actually went outside and disconnected the line going into the house. Then hard the Telco provider remove the box completely. So I am offline from Telco.
I did just that. Plugged in Obi to jack downstairs and it shows as line in use on Obi -> but no dial tone anywhere. If I then plug directly into handset all good.
I have two photos I wanted to included to see if 1) I should connect a phone line from obi to same central punch down as all other house lines.
It sounds like those jacks are not actually connected to each other. If they were, you should hear a dial tone. When the telco was connected, you could have picked up any handset and heard another handset that was off-hook.
I'm thinking there may be something that is still plugged in to that wiring that could be interfering, but still you should be able to hear *something* if those two jacks are in fact connected to each other. Could one of them be on a different pair?