This is what happens when I scale a dxf-dwg file.
Its quite common to receive dxf-dwg files that need to be converted to other units
and I think Rhino should easily do it out of the box. I have found no easy way to fix
this, just hide the text item to be able to work on the file is the fastest option I use.
I must say that its a old problem, I think its time to give it a fix
Gerry