Thanks for the help guys!

Crappy thing is that I'm working 12 hour days right now, so I don't have any time to watch the Filefish.
This particular Filefish is supposed to be fairly reef-safe usually going after anemones if anything. It is definitely suspect, but I haven't seen him do it! Grr...
My sump isn't a safe place for fish because neither of my pumps (skimmer and return) have any protection on the intakes. I should look into that for situations just like this...
Good call on dipping. All I have is TMCC though, and I haven't found that LPS do well with an iodine based dip. What do you think Doug?
When I did the water change lastnight I moved the Favia over between the (3) Jawfish burrows hoping that if it is the Filefish that the Jawfish may (unknowingly) protect it.
I'm not quite giving the whole story here either though...it's kinda long. So there are other reasons to suspect the water, and not just the Filefish. I recently started using carbon and Zeolites on the tank too. My tank has had a lot of changes in the last month.