I hear what you're saying, but given that I can't even fit a seal in it it's so bad, and that the booger welds oozed into the inside and created their own new edge where the seal is supposed to seat, I really doubt this was done by someone who knew what they were doing. I did reach someone locally who does mostly 9" ford rears, but he thinks he can make his jig work. He should be able to tell me if it's that bent or not.
OK...first, caveat: I am not a metallurgist, a welder, or an axle expert. However, I am trying to help, so please do not throw old axle parts at me.
First: can you pack it with rags/newspaper/whatever, get in there with a grinder, and simply remove the welding "edge"?
Second: honestly, despite how ugly it is, might it actually be STRAIGHT? If so...hell, I say do the brakes and run it.
Third: a weird trick someone showed me a while back, if the axle has 'shafts in it. You need two rims (bare, no tires, size unimportant, but MUST be straight and true), brake drums (brakes need not be assembled), a perfectly level surface (a concrete floor being ideal), a long level, and lug nuts. An engine hoist or a second person is also a great help. Seat the axles normally, and bolt a wheel to each end. Stand the axle on one rim (this is where the helper or hoist comes in), put the level on the other. Carefully and slowly turn the top rim through 180 degrees. If the bubble stays in the center...congratulations! You have a very-ugly but straight axlehousing!
Edit: OK...first, will the sealed tapered roller bearings (as used in Mopar Action's "Savvy Savoy", I think spec'd for, of all things, a Ford truck) from Green work? (Like E-berg, I am not comfortable with ball-bearings on a street car.) If so...you're golden.
If not...is there room to simply grind away the interference and make a new bearing/sealing surface? If so, I can't imagine a machine shop would have a problem doing it.