Other than the "white" part of the description it sounds a little like brown jelly disease. If I'm not mistaken it is a protozoa (or maybe bacterial). It's NASTY stuff, you will lose heads overnight and there is risk of losing the whole coral. Euphyllia like torch, hammer, frogspawn, etc. are unfortunately very susceptible to it.
I'm not sure what the solution is - maybe a dip of some kind. There should be lots of info online though so try googling it and see if you think if it could be that or not. What has me stuck is that brown jelly is ... well, brown, and what you seem to have most certainly isn't.
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-- Tony
My next hobby will be flooding my basement while repeatedly banging my head against a brick wall and tearing up $100 bills. Whee!
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