2 is hypothetical as none of the fronts are doing this, and even if a front "could" that doesn't matter as the fronts in question do not. We can agree that if this was happening then it would be an issue.

3 seems just wrong. Where does the DNS lookup take place? Why would the fronting server look up the SNI entry?

Are you 100% confirming that the encryption takes place using Souq's cert? Obviously it isn't going to display in a browser, but I'd wonder if there was something else you could do with it.