It's a bit tricky, but from that information I'd say yes, he is eligible for support. He's clearly stated that he came to the UK for employment reasons. The only reason I could think that they would turn him down is if he arrived here after 1st September 2005. If that was the case, then he has to actually be working during his course, even if it's only a few hours a week. I'd also recommend forwarding his P60's, either the originals or clear photocopies. These would demonstrate that he'd been in employment before the course began.
I think in the meantime while this gets sorted, he applies to the EU Team for his fees. When his LEA are happy with the information, they will just get his account transfered back to them and process his full support. I'm a bit surprised the LEA haven't been more explicit in the information they need.
Also a bit shocked at the information given by the EU Team, especially as they cause the majority of cock-ups. They were rude to me the other week wanting an Iranian student we had turn down transfered to them. Last time I checked, Iran was not in Europe, and he didn't meet any of the other criteria.