Eric,
I guess that Mr Douglas expected the front gearbox bearing would leak as he provided an anular groove outside the seal to catch any oil that was escaping! This groove has a drain port that feeds the escaping oil to the front of the layshaft bearing (and back into the gearbox). Now, this is fine on the Mark series gearboxes as they had a breather hole in the filler plug, but the Dragonfly does not have any breather, so as the temperature rises, any expansion finds the easiest route of escape (often, back up the afore mentioned drain port). This problem is more likely to occur when all seals, etc. are in good order (after a rebuild) as the box is relatively air tight. You could try running with one of the top bolts (Allen screw) removed from the gearchange cover. If this stops the leak from the bellhousing, then lack of a breather is the main problem. A 1/16" hole drilled down the centre of the Allen screw before replacing it, will probably be the best solution (without it being obvious that a modification has been done).
Regards,
Eddie.
