Kudos to Martin and Gray for the tips on the grub screw.
I finished installing the new spindle last night and I am thoroughly pleased with it. I still need to carry out my final preloading and run up. I have not yet checked the spindle with my ten thou indicator but after snugging up the bearings my one thou indicator shows a very, very slight quiver on the register and there is no needle movement at all on the register face. I have not yet checked the MT run out. In the top photo you can see the machining marks on the end of the spindle. I removed these with a diamond lap. This provided me with a nice smooth surface for the drilling process. The burrs on the scoring behind the threads in the bottom photo were removed with a 1/4" square hard Arkansas stone. I am a bit fussy about such things.
I had problems installing the grub screw thanks to my inadequate planning. BTW, a faceplate makes good base for doing vertical work on spindles. I simply threaded the new spindle onto the back of the faceplate which enabled it to sit nicely flush on the base of my drill press. I then turned the drill table 90 Deg and packed the spindle plumb and centered under the quill. To enable the drive gear to be dead level with the end of the spindle, I installed the threaded locking ring under the gear and used it to make the necessary adjustments up and down. Then I easily but carefully oiled and drilled the hole using a # 21 bit to suit the 10-32 grub screw that I intended to use. Using a new 10-32 taper tap and oil, I then started the thread. I followed this with a bottoming tap to extend the thread. All of a sudden …snap!! No, not a broken tap. I am now the proud owner of a broken drive gear. Oh well, part of the learning curve. Once I acquire another gear I will revisit this job using 6-32 tooling. I plan to turn a T-shaped steel drilling jig that will fit the bore of the outer end of the spindle. I will also accurately locate and drill the appropriate pilot hole. Whereas the spindle is now installed, intend to use my hand drill.
Whereas I only have