Being a manual valve body the only linkage is the shifter linksge. It is adjusted correctly because as the transmission clicks into each gear it lines up with the shifter position. I know with this valve body when you coast in first it seems like it goes into neutral. That is the way it acts in third. I did try to adjust the band so I know that is correct. I am not a trans expert but it sounds like you are saying that when the trans is in third it is operating on the clutches in the front drum. So it sounds like those clutches are gone correct?