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A lot of people remove those balance weights for just that reason. They are known to fragment and ruin a good engine.
Dave should go to this site for help. http://casecoltingersoll.com/forum.php
He should also call Bill at Barneveld Implement for any parts he might need. Or another engine. They also have tractors they can get a used engine off of if he wants to go that route.http://www.barneveldimplement.com/parts---accessories.html