I learned from the other Cloud project that those are things that cannot easily be helped. That way the animation pieces rotate and the length of the bones don't lend themselves easily to fix proportionate problems like this. But trust me though, this is a HUGE improvement over the KH ripp off one. It looked way worse in game, especially for those issues.
Remember, most of the time the camera is far enough away that any detail is just a few pixels on screen. Moving a part may fix the way it looks for one animation, but it makes it look worse for another animation. I tried to find the gentle average so that things look more natural. The KH ripp off gave me allot of experience with this issue.
As far as the wrists go, that's just a hasty attempt to cap the hole left after removing the hand, and you only see that for a second so it's not really a big deal.
(although now that I think of it, I made these screenshots before some more bending tweaking and rescaling so it's not as noticeable now, but still there)
All things considered, he's mightily awesome and animates better with this model than I thought he would. Even with those flaws it's pretty damn cool!
