Just a quick question. Why did the MOT teater refuse to continue testing when it was apparent that the smoke was merely oil burning off on the exhaust with no danger of a fire? I hope he didn't charge you. My MOT man simply wiped the very hot exhaust system off with a rag and carried on testing, once he was satisfied that there was no danger of fire.
Secondly. Are you 100% sure it's transmission oil that's causing the problem? I had a high miled ABZ 4.2 engine start this lark last year, like you I blamed the tranny seal and had it replaced (about £165 all in if I remember correctly) Only for the car to carry on smoking! On further investigation it was found to be ENGINE oil leaking from the back of the cam covers down the back of the engine block via the bellhousing and from there onto the left hand cat. Once the troublesome gaskets were replaced and the engine was cleaned down the smoking stopped. I think all in the repair cost ran up to £320-330
Hope this helps
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