Some good stuff in attached paper. A case can be made that some large ground sloths were capable of knuckle-walking, but it was quite different than that which we see in apes today. Of course, orangs don't walk like gorillas either, so there's probably a lot more locomotory (locomotive?) plasticity than we generally appreciate even in the Primates.
But all Meldrum needs is one reference stating that Megatherium was at least occasionally bipedal and he can say "See? Really big animals can be bipedal."
PS: PDF I wanted to attach was too big. Check out Bargo et al. 2000 from the Journal of Vertebrate Paleontology. LIMB BONE PROPORTIONS, STRENGTH AND DIGGING IN SOME LUJANIAN (LATE PLEISTOCENE-EARLY HOLOCENE) MYLODONTID GROUND SLOTHS (MAMMALIA, XENARTHRA)
ABSTRACT—The mylodontid ground sloths (Xenarthra, Tardigrada) are among the most intriguing components of the Lujanian (Late Pleistocene-Early Holocene) fauna of the Pampean region in South America. Limb proportions and resistance to bending forces were studied in Scelidotherium, Glossotherium and Lestodon to infer their locomotory abilities. Body masses were estimated using scale and computer-generated geometric models. Allometric equations were calculated from humeri, ulnae, radii, femora, tibiae, and the pes, and were used to predict linear dimensions from body mass. Slopes and intercepts were obtained using Model I and II regressions. An indicator of strength was calculated for humeri and femora. Body masses of approximately 850, 1,500 and 4,100 kg were estimated from scale models for Scelidotherium, Glossotherium and Lestodon, respectively. The proportions and capacity to resist bending forces of the limb bones of Scelidotherium and Glossotherium indicate that they were well adapted for strenuous activities in which force is enhanced over velocity, such as digging. We consider these taxa as possible builders of the large Late Cenozoic burrows present in the Pampean region. Although limb proportions of Lestodon are comparable to those of the others, its low strength indicator suggests that its limbs were not as well designed to perform such strenuous activity.