Well, after some research, I found that the Dana 300 transfer cases used in early model Jeeps are NOT flat towable!! In neutral and engine not running, the rear bearing does not get enough lubrication and will seize up. I didn't do diligence and research about this, I had seen all the Jeeps being towed and assumed (Yes I know what assume means)that all Jeep transfer cases were fine in neutral. Later model Jeeps using the New process transfer cases are OK, but I can not use them as they are left hand front output. I needed right hand front output like the 1980-1986 Jeeps used.

Had I visited the Jeeps forums this issue is discussed a lot. Grrrrr.

I will rebuild the Dana 300 transfer case and incorporate provision for a lubrication pump to keep everything lubbed and happy. Probably be another month or so before I have the bandwidth to tackle this project.

Ed, so sorry. You have a lot more patience than I do. Probably because you are so young. I would have driven the Amigo off the nearest cliff (after getting out)
Jim