Yup. I checked all that. Contacts look clean on both camera and lens. I did try resetting camera settings. The problem appears only with this one lens. All my other lenses, both variable max aperture (no ring positions, such as 18-55mm f/2.8-4 or new 100-400mm) and fixed max aperture (with aperture ring positions, such as 23mm f/1.4) work just fine. It's just this single lens giving me trouble.
Oddly enough, my brand new 100-400mm just started giving me different kind of trouble after using it for only few days, camera would display "lens control error" if I have OIS enabled. I wonder if it is just odd coincidence (what are the chances of *two* lenses going bad in span of a week), or something with camera (X-T1 in my case).
I'm leaning towards former (troublesome lenses, not troublesome body) since it seems to be two distinct problems and all my other other lenses work perfectly fine. Aperture ring with 55-200mm (with OIS working OK), and OIS with 100-400mm (with aperture ring working OK). Not to mention that this same 55-200mm was in repairs for image sharpness problems last November... I'm kinda becoming bit worried about my (non-trivial) investment in Fuji glass...