Transfer case leaks

[topsof7]

I have a 1971 cheyene 4x4. The transfer case has been leaking forever and I have decided to try and correct the problem. First of all I am not an extreme motor head but I can trouble shoot and problem solve. I have drained the fluid and pulled off the cover. Much to my surprise I found a lot of needle bearings that will need to be put back in place before the cover goes back on. So my first question is, can I seat them in a small amount of bearing grease to hold them in place while cover is going on and the next question is what type of fluid goes back in the case and how much does it take? The fluid that came out looks like transmission fluid but I don't know for sure and I want to be certain that what I put in is correct. Any help or advice is appreciated.
Levi

[drunkbus]

If there was transmission fluid in it either someone put the wrong fluid in or the rear seal on your transmission is leaking. Should be gear oil but can't remember what weight.

[Stocker]

To the first question: if the cover is designed to hold the bearings in place, then yes, you should be able to use a small amount of grease to hold them until the cover is bolted on.

What t-case do you have? My Clymer manual calls for DexronII ATF in NP 205 and NP 208. A lot of guys say to run gear oil in them, and my 205 has Mobil-1 75W90.

Like drunkbus said, bad seals will pump ATF from your transmission into the t-case.

[Burt4x4]

My 72 K5 came factory with NP205 90W and same with my factory SM465. Have heard of the ATF being used too but I have no need for that stuff..it starts fires well! hehehe