Hello Gordon,
I am an Oliver sort of bloke and these new fangled Rivers diesels are not for me! It sounds as though you got it cheap and they do fetch quite a bit on Ebay, so I don't think you have gone wrong in buying it. The 3.5 Rivers was aimed at the Combat people while their 2.5 offering was a direct challenge to the Olivers that had dominated team race for years. You are right in saying they are early 60s. They have needle races rather than ball races and although I have never tried to take one apart, I am told that you can finish up with a shower of needles going all over the place. I am not sure the needles were a good idea, but it was different at the time. Again from hearsay, I am informed they did vibrate a bit, but so did Oliver Majors.
I am pretty sure that you have got some dirt in the needle races by your description, so a good clean out is essential before running. If the AM tests are not available on Netties site, then I am sure I have the review somewhere, let me know if you want a copy and I will dig it out. If it runs well then fine, if not Ebay it and you may be surprised how much you get for it, especially as you have the box and papers. (Strange folk collectors, I wouldn't pay more than £30 for one, but then there are folk who would pay 5 times as much.)
Regards,
Andrew.
P.S. I would rather have the Irvine 20 anyday!