Movement of an IRA to another IRA by the method that you described is a trustee-to-trustee transfer and is not reportable. No Form 1099-R should have been issued at all. I assume that the Forms 1099-R shows no tax withholding that would complicate things. ABC should be asked to correct the form to show zeros where the original shows dollar amounts in boxes 1 and 2a.
This sort of bank error is common because bank personnel are usually poorly trained with regard to the difference between a distribution from an IRA and a transfer of an IRA. They frequently mistakenly mark the Distribution box on the withdrawal form instead of the Transfer box and the back office obligingly reports the transfer as a distribution when it is not actually a distribution.
If XYZ has not and will not report receipt of a rollover in box 2 of a Form 5498 (the deadline to provide such a form has not yet passed), they have properly processed the transaction as a trustee-to-trustee transfer. A trustee-to-trustee transfer is neither a distribution nor a rollover.
Code G is never to be used for movement of funds from one IRA to another. Code G is only used for the movement of funds to or from an employer plan like a 401(k).
