My experiences with Alden restoration have always been good. I find it unfortunate if your shoes no longer fit.
I am skeptical your shoes were stretched one full size through restoration. Yet, there will always be some variance in fit following a resole. Also, it sounds like Alden tried to fix the problem with an insole of some sort, which you refused. While it's a lousy situation, I find it unreasonable to expect them to provide a new pair to replace three year old used shoes that had holes upon their arrival to Alden.
While Alden's restoration operation is decent, they cannot make old shoes perfectly new again, or work other miracles. You have to understand the limitations of re-crafting. Also how well did the shoes fit when you sent them to Alden? (They would not have been as cushy and snug as new shoes fit.) I raise this question because many people on the forums have bespoke-level or unreasonable expectations of quality, fit, longevity, durability, etc. on what are merely solid machine made ready-to-wear shoes. It's possible you may have to adjust your expectations.
I never saw them again. They offered me a new pair paid for by the poor recrafting process.
You would think alden would want to keep a loyal customer. As if they couldn't afford this.