To GMAT GuruNY: Usage of in possessive Verbing

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Question Pack SC: so be cautious my peers before you proceed. : )
On a glacier in the High Himalayas, a Japanese zoologist has found a species of midge that is unlike any other known insect in its spending its entire life cycle in the snow and ice of a glacier.

(A) that is unlike any other known insect in its spending

(B) that is unlike any insect known as it spends

(C) that, unlike any other known insect, spends

(D) unlike any insect known because it spends

(E) unlike any other insect that is known, spending
OA is C

Guru can you tell a bit about the construction in A?
i have seen many times in Official material that "in possessive Verbing" is wrong pretty much most of the time.
Can you tell how to decide when it comes to last two out of 5 options as is the case in this SC,i.e A vs C

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by GMATGuruNY » Mon May 02, 2016 3:19 am
aflaam wrote:Guru can you tell a bit about the construction in A?
A: its spending its entire life cycle
The structure here is POSSESSIVE + VERBing + DIRECT OBJECT.
On the GMAT, this structure is not viable.
Eliminate A.

For others examples of this non-viable structure, check my post here:
https://www.beatthegmat.com/noun-possess ... 88098.html
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