After many hours of re-install WHS, deleting backups and running the checkall.cmd I was still never able to identify specific HDD that was causing the dsk error in event log. WHS and Disk Management both reported all 18 HDDs as healthy which of
course was not the case. I could not complete a backup because each time it would try to write to the bad HDD and get a CRC error. I would get the Harddisk 1 has a bad block error each time the backup would fail. I ran the checkall.cmd as
recommended here - it completed checking all drives but 1 which it froze at stage 2 of 5 10% complete. I allowed it to continue over night but nothing changed so I rebooted, did chk dsk for c: drive and then looked in event log which did report anything
for volume d (I guess because it froze and never completed) and volume c was clean. Still was getting dsk errors over and over (reported about every 5 secs) in system event log as Device\Harddisk 1, has a bad block.
Based on the event log indicating that it was HDD 1, I removed HDD 1 as reported by disk management - still got errors. So then I started removing HDDs from the storage pool starting with the last one added number 18 which froze for 14 hours
with no progress so I just pulled it and everything is back to normal healthy state. Been running fine for 18 hours and has completed 3 separate computer backups.
I had a little luck in that I only removed one HDD before I found the problem, but it could have been much worse. Is there a way to identify which disk is the problem?