Quite possible it's the clutch slave bracket that is loose on the corroded bell housing and/or the angle brace is missing in action, allowing the clutch slave to move rather than the just the cross shaft.  See here what I do about that mess <http://picasaweb.google.com/112511052076571953009/BellHousing?authkey=kH5tSbsyntU&gsessionid=oSGPWDMBRvbt4gjPkL1_ig>

On 2012-05-16, at 5:58 PM, Automatic digest processor wrote:

> The grinding into reverse until shutting off the engine means the clutch is
> not fully releasing. Something is still wrong. It may just be that it still
> needs to be further bled or there could be another mechanical problem.

Cheers,    

Frank Condelli
Almonte, Ontario, Canada
'87 VW Westy, '00 Kawasaki 250 Sherpa, "98 Ducati 750 Monster & Lionel Trains (Collection for sale)
Frank Condelli & Associates - Vanagon/Vanagon Westfalia Service in the Ottawa Valley
Vanagon Stainless Steel Exhaust Systems
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