All of this is even worse with a distributed team. Don't get me started on what happens when contractors enter the picture. Edit: and so-called development managers!
I've had some truly great development managers, and some really mediocre ones. It's helpful to have a technical manager that can shield you from certain issues while still understanding your needs enough to actually meet them.
You said it man. But when development managers enter the picture, and when they're also your people managers, and they come into the scrum and start enforcing top-down patterns it's about as toxic as you can get.