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Transfer case leak


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I have replaced the seal but it still leaks. I checked the yolk with calipers and other than shiny spots there were no signs of wear. I can push up on the yolk while in the case and I get a very small amount of  movement a 64th or less. Does that indicate a bad bushing? 

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doesn't sound like it. are you sure it's the seal?  It's possible you've been bitten by the pump rub problem, or possibly the pretty rare problem of the yoke itself leaking (there can be a hole drilled down the middle of the yoke, and sometimes the plug for it will leak).

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