I've seen this in a few houses, my own included, where the anchor bolt for the sill plate is not inserted into the framing but rather inserted into a cutout and pounded flat into the wood. Can this be corrected, as in the bolt straightened and properly tied to the sill plate? I've found about 4 of these bolts and all of them are done in the same way, a large cutout in put in the sill plate the bolt is then pounded over until it is mashed into the plate. I guess that's secure, somewhat, but probably not what the designers had in mind. In fact doing that was probably harder than putting a nut on the bolt and fastening it down - which makes me wonder why that's done in the first place.
None of the framing in my basement is tied to the foundation, in fact the framing sits about 1/2 off the surface of the foundation so I'm looking at ways to correct this before I close the wall up with new drywall.
BTW: Why is drywall so expensive? 16 bucks a sheet for 5/8".