Well! Thanks for all of your help and suggestions...problem solved at last. Decided to strip engine and replace possible faulty seal but on removing the drive side seal plate found that the engine had been put together WITHOUT the gasket, no wonder the gearbox oil disappeared and I had clouds of smoke. It smoked a bit when I first got it but put that down to rich 2 stroke mix which eventually disappeared, obviously when the gearbox oil ran low.
I won't be using that dealer again and neither will a few mates who were looking to purchase scooters ready for next summer.
Anyway, all seems ok now so keep fingers crossed that I don't encounter any other problems.
David
