To help troubleshoot, we changed the image processor to GD2 in PP Admin.
Now the JPEGTRAN error is back and the ImageMagick error is gone.
What this means is, setting the NT flag created an ImageMagick error before the JPEGTRAN error.
In other words, the JPEGTRAN error never went away. It was simply waiting for the ImageMagick error to go away before the logic hit it.
I'm going to remove the NT flag and put back ANY since this did not address the original problem and simply introduced a new problem.
Please review and advise.