Oil sensor light, flashing red and beeping (But oil pressure NOT low)

Hi,

So I have a 1.4 tdi polo, 2003. (9n). 130k, and full service history.

The car has been great, not let me down once in over 12k.

After owning the car for a while, the orange oil light came on. I checked levels and was fine! Bought an oil pressure gauge, again it was fine.

The orange light would go off if I shorted the bonnet latch sensor, so this was a temporary fix, but it'd come back after 2 weeks or so.

Now, the oil light is flashing red and beeping, yet oil pressure is that same as it's always been.. Its really doing my head in and I checked with the vagcom and nothing came up, any ideas? Changed the oil pressure switch when the light came on in the first place.

Never over heats, doesn't eat oil or lose coolant.

Anyone?

Check all of your grounds, or earths as I believe you call them. I have seen situations where bad grounds will cause this exact issue

Sorry but kinda a noob, what earths may that be?

Actually I remember one of my earths coming from the top of the battery panel had torn open, like the plastic around the copper as the lid was closing on it. Anyway I taped it up.. So maybe thats the bad earth but it was surrounded by plastic anyway what is there for it to conduct with?