In the company that i work, we develop all the GUI in C#, but the application kernel is mainly developed in Delphi 5 (for historical reasons), with a lot of components made
We have also just installed Delphi 2009 and it does seem to have improved the support for Typelibraries. However I have worked with COM and type libraries for quite some time and here are my general gotchas that I have found over the years. I would agree its pretty buggy and is all the way up to Delphi 2006 (our version prior to using 2009).
However I think your best solution is probably an upgrade. You get Unicode support too.