Trans and diff woes..

[Talkwrench]

Ok so this is in my 35 pickup 39 trans, 40diff.
I have a few issues to address, Ive smashed teeth off the second gear cluster [so ill be calling out for one 68-7113. 28-24-18-14T] and the sleeves we put on the diff a while back are just cactus*.
Im just getting a consensus with you guys as to why its cut a ring top and bottom, the pattern and the degeneration.
Picks are LT for Left Top - so on.
I believe they may be soft, which we may have done [well not me] as they were heated in a furnace before sleeved on. The original bearing that came with the kit were soft cages and they were in for about 6 months at least before replacing with hardened ones. However there seemed to be nothing wrong with them.