318 LA rear main leak?
Mate that rear main doesn't look too good might be the pic but it does show you are getting good bearing contact my machinist normally turns that serration off the crank he said that was for the rope type seal how true it is ??
It appears to have polished quite a way either side of the bearing width have you checked to see how much end float you have do you have a picture of the bearing in the cap .
The cap does appear to be sitting correctly