I examined the loco more closely today. The play is a result of the wheel tips being able to move up and down where they make contact with the axle housing. In other atlas and bli models I checked, I cannot move the wheel ends up or down, they are firmly fixed. I haven't removed the trucks but it seems to me that the hole where the wheel tips plug in is larger than required thus permitting the wheel tip to move about inside its enclosure.
I have another one in the mail, will be comparing the two.