diff --git a/client/src/components/Chat/Messages/Content/Parts/BashCall.tsx b/client/src/components/Chat/Messages/Content/Parts/BashCall.tsx
index 567da91c90..b50dfcbaf6 100644
--- a/client/src/components/Chat/Messages/Content/Parts/BashCall.tsx
+++ b/client/src/components/Chat/Messages/Content/Parts/BashCall.tsx
@@ -179,6 +179,7 @@ export default function BashCall({
             )}
             <PtcToolTrace
               toolCallId={toolCallId}
+              expanded={showCode}
               className={cn(command && 'border-t border-border-light')}
             />
             {hasOutput && backgroundHandle == null && (
diff --git a/client/src/components/Chat/Messages/Content/Parts/ExecuteCode.tsx b/client/src/components/Chat/Messages/Content/Parts/ExecuteCode.tsx
index d17f7ac41d..8ea9596b74 100644
--- a/client/src/components/Chat/Messages/Content/Parts/ExecuteCode.tsx
+++ b/client/src/components/Chat/Messages/Content/Parts/ExecuteCode.tsx
@@ -180,6 +180,7 @@ export default function ExecuteCode({
             )}
             <PtcToolTrace
               toolCallId={toolCallId}
+              expanded={showCode}
               className={cn(code && 'border-t border-border-light')}
             />
             {hasOutput && backgroundHandle == null && (
diff --git a/client/src/components/Chat/Messages/Content/Parts/PtcToolTrace.tsx b/client/src/components/Chat/Messages/Content/Parts/PtcToolTrace.tsx
index 40e8a9f644..bc306145c9 100644
--- a/client/src/components/Chat/Messages/Content/Parts/PtcToolTrace.tsx
+++ b/client/src/components/Chat/Messages/Content/Parts/PtcToolTrace.tsx
@@ -7,6 +7,7 @@ import { cn, parseToolName, getRunStepDurationLabels } from '~/utils';
 import { useMessageContext } from '~/Providers/MessageContext';
 import { ptcTraceByToolCallId, ptcTraceKey } from '~/store';
 import { useMCPServerNames } from '~/hooks/MCP';
+import useFollowScroll from './useFollowScroll';
 import { useLocalize } from '~/hooks';
 
 /** Terminal-style status column: one glyph wide for every state, so the
@@ -105,9 +106,13 @@ function PtcTraceLine({ entry }: { entry: PtcTraceEntry }) {
  */
 export default function PtcToolTrace({
   toolCallId,
+  expanded = false,
   className,
 }: {
   toolCallId?: string;
+  /** The host card's disclosure state — a collapsed pane must not be scrolled
+   *  invisibly, or it opens at the tail instead of the first call. */
+  expanded?: boolean;
   className?: string;
 }) {
   const localize = useLocalize();
@@ -118,6 +123,16 @@ export default function PtcToolTrace({
     ptcTraceByToolCallId(toolCallId && messageId ? ptcTraceKey(messageId, toolCallId) : ''),
   );
 
+  /** One character per row, so the pin re-fires both when a call is appended
+   *  and when one settles — a settle can add an error line and change height. */
+  const followKey = `${trace.dropped}:${trace.entries.map((entry) => entry.status[0]).join('')}`;
+  const running = trace.entries.some((entry) => entry.status === 'running');
+  const { ref: listRef, onScroll } = useFollowScroll<HTMLOListElement>(
+    followKey,
+    running,
+    expanded,
+  );
+
   if (trace.entries.length === 0) {
     return null;
   }
@@ -131,7 +146,12 @@ export default function PtcToolTrace({
       <div className="mb-1.5 text-[10px] font-medium uppercase tracking-wide text-text-secondary">
         {localize('com_ui_ptc_trace_title')}
       </div>
-      <ol className="max-h-[200px] overflow-auto font-mono" aria-live="polite">
+      <ol
+        ref={listRef}
+        onScroll={onScroll}
+        className="max-h-[200px] overflow-auto font-mono"
+        aria-live="polite"
+      >
         {/* The retained tail is a window, not the whole program — say so
             rather than let the reader assume these are all the calls. */}
         {trace.dropped > 0 && (
diff --git a/packages/api/src/agents/handlers.ts b/packages/api/src/agents/handlers.ts
index fa0bcd34bf..4d5cf8428c 100644
--- a/packages/api/src/agents/handlers.ts
+++ b/packages/api/src/agents/handlers.ts
@@ -750,6 +750,35 @@ function filteredToolArgumentsResult(
   }
 }
 
+/**
+ * Inner tool names the `name` PII policy would block. `filteredToolArgumentsResult`
+ * inspects `tc.name` for direct calls, but inner calls bypass it entirely — and
+ * the trace event carries the name unconditionally, so without this the trace
+ * becomes the disclosure path the policy exists to close. The eligible map holds
+ * a handful of names, each inspected once per PTC call.
+ */
+function collectFilteredPtcToolNames(
+  names: Iterable<string>,
+  req: ServerRequest | undefined,
+): ReadonlySet<string> | undefined {
+  const filters = req?.config?.filters;
+  if (filters == null || !hasActivePiiFields(filters.toolArguments?.pii, ['name'])) {
+    return undefined;
+  }
+  const blocked = new Set<string>();
+  for (const name of names) {
+    try {
+      if (inspectContent(extractToolArgumentContent({ name }), { filters }) != null) {
+        blocked.add(name);
+      }
+    } catch {
+      /* An un-inspectable name is treated as blocked: fail closed. */
+      blocked.add(name);
+    }
+  }
+  return blocked.size > 0 ? blocked : undefined;
+}
+
 function filteredToolOutputResult(
   tc: ToolCallRequest,
   req: ServerRequest | undefined,
@@ -5036,9 +5065,8 @@ export function createToolExecuteHandler(options: ToolExecuteOptions): EventHand
                          * the sandbox bridge invokes them directly — so when the
                          * deployment filters tool arguments for PII, the trace
                          * must not put their values on the wire. */
-                        const ptcArgumentPii = (
-                          mergedConfigurable?.req as ServerRequest | undefined
-                        )?.config?.filters?.toolArguments?.pii;
+                        const ptcReq = mergedConfigurable?.req as ServerRequest | undefined;
+                        const ptcArgumentPii = ptcReq?.config?.filters?.toolArguments?.pii;
                         toolCallConfig.toolMap = emitPtcProgress
                           ? instrumentPtcToolMap({
                               toolMap: eligiblePtcToolMap,
@@ -5051,6 +5079,10 @@ export function createToolExecuteHandler(options: ToolExecuteOptions): EventHand
                                 'arguments',
                                 'output',
                               ]),
+                              traceExclusions: collectFilteredPtcToolNames(
+                                eligiblePtcToolMap.keys(),
+                                ptcReq,
+                              ),
                               emit: emitPtcProgress,
                             })
                           : eligiblePtcToolMap;
diff --git a/packages/api/src/agents/ptc.spec.ts b/packages/api/src/agents/ptc.spec.ts
index 09ee1595db..3a3f04179a 100644
--- a/packages/api/src/agents/ptc.spec.ts
+++ b/packages/api/src/agents/ptc.spec.ts
@@ -210,6 +210,28 @@ describe('instrumentPtcToolMap', () => {
     expect(JSON.stringify(events)).not.toContain('555-01-0000');
   });
 
+  it('emits nothing at all for a tool whose name the policy filters', async () => {
+    const { events, emit } = collect();
+    const toolMap = new Map([
+      ['ok_tool', createTool('ok_tool', async () => 'ok')],
+      ['blocked_name_tool', createTool('blocked_name_tool', async () => 'ok')],
+    ]);
+
+    const instrumented = instrumentPtcToolMap({
+      toolMap,
+      toolCallId: 'call_1',
+      traceExclusions: new Set(['blocked_name_tool']),
+      emit,
+    });
+
+    /** Excluded tools still execute — only their telemetry is suppressed. */
+    await expect(instrumented.get('blocked_name_tool')?.invoke({ a: 1 })).resolves.toBe('ok');
+    await instrumented.get('ok_tool')?.invoke({ a: 1 });
+
+    expect(events.map((e) => e.name)).toEqual(['ok_tool', 'ok_tool']);
+    expect(JSON.stringify(events)).not.toContain('blocked_name_tool');
+  });
+
   it('runs the inner call even when the emitter throws', async () => {
     const toolMap = new Map([['read_file', createTool('read_file', async () => 'ok')]]);
     const instrumented = instrumentPtcToolMap({
diff --git a/packages/api/src/agents/ptc.ts b/packages/api/src/agents/ptc.ts
index a56e3f1221..aaa47d274f 100644
--- a/packages/api/src/agents/ptc.ts
+++ b/packages/api/src/agents/ptc.ts
@@ -95,6 +95,14 @@ export interface InstrumentPtcToolMapParams {
    * argument that caused it. The trace still reports name, status and duration.
    */
   includePreviews?: boolean;
+  /**
+   * Inner tools whose *name* trips the deployment's PII policy. The event
+   * carries the tool name unconditionally, so a name the `name` filter would
+   * have blocked on a direct call cannot be allowed to ride the trace instead.
+   * These tools still execute — they are simply left unwrapped, so no event
+   * about them is ever emitted.
+   */
+  traceExclusions?: ReadonlySet<string>;
   emit: (event: PtcToolCallEvent) => void;
 }
 
@@ -111,6 +119,7 @@ export function instrumentPtcToolMap({
   toolCallId,
   runId,
   includePreviews = true,
+  traceExclusions,
   emit,
 }: InstrumentPtcToolMapParams): Map<string, StructuredToolInterface> {
   let sequence = 0;
@@ -125,6 +134,10 @@ export function instrumentPtcToolMap({
 
   const instrumented = new Map<string, StructuredToolInterface>();
   for (const [name, tool] of toolMap) {
+    if (traceExclusions?.has(name)) {
+      instrumented.set(name, tool);
+      continue;
+    }
     instrumented.set(
       name,
       new Proxy(tool, {