Ian
I am an engineer, and in my humble opinion, a pressed steel chaincase which is liable to warping and made in two halves to hold lovely permeating warm oil is about as far from sound engineering practice as a chocolate teacup. Yes Velos are pretty, nice to ride, and the engine is remarkable for a single, but in some other respects, a little flawed. Mind, I had a Matchless G9 which leaked oil like the Exxon Valdez. Dynamo seal, chaincase, head, bottom end, to name but a few points of hydrocarbon incontinence. Eventually I just gave up on it and sold it....
My 46 Ariel VB600 has - as far as I know - not leaked at all in 8 years of ownership. Superb old SV thumper. Pig to start sometimes though....