I think from the diagnosis so far, that Owen has it. The rear (ON) band is supposed to stop the ring gear of the planetaries, making the PTO turn with the engine, but at 540 RPM. It is stopping it, but it is also stopping everything. The fact that it will turn the engine when in the off position is also a symptom of this issue. This means the Gears in the planetary reduction unit are broken or jammed. To tell for sure with no further investment in the unit, Check the RPM with it running wide open, If it is between 540 and about 650, the gears are working. If it is more like 800 or 900 or more, the gears are trash. Do not run it with the lever in the on position if this is the case. Overheating of the rear band will destroy even more parts. Jim
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