Here is the story so far:
I opened up the gear box cover plate to inspect the source of a clicking sound. Its a single or double click when I pull the clutch in. I dont know how long its been there since its drowned out by the engine when its running. The ball bearing mechanism under the 5-speed plate was devoid of grease. I was able to replicate the sound and it seemed to be coming from the ball bearing mechanism. I cleaned it with gasoline and greased it with, oh well vaseline. Thats all I had laying around. I am going to have to open it up again so .....the good stuff will go in. Any how, the clicking sound went away after vaselin-ing with the cover off but was back as soon as I put the cover plate back on. So, there is issue one, the clicking sound.
Issue two: When I put the gearbox cover back together I saw a spacer lying on the ground, #26 in this diagram :
http://www.hitchcocksmotorcycles.com/partsbooks/pages/2307/Carrier_Plate_&_Gear_Lever_-_5_Speed Now this is a LH shift diagram, so I am unsure where this spacer goes relative to, lets say #24. I put it to the right of it flush against the cover with the dished side facing right, towards the cover. Something is not right. Shifting is really tight/stiff. Loosening the cover plate bolts helps a little but its still too tight. The shifter does not return to its resting position. I am sure I put the spacer in wrong, either facing the wrong way or in the wrong place.
Would appreciate some help here.