Shake, rattle & roll is the norm for the basket springs in those motors. There is an upgrade kit APE sells with heavy springs, new backing plate and rivets that you weld. Might be worth the piece of mind you'd get from it...
Generally though, those baskets work just fine unless you're severely abusing it at the drag strip every weekend. Scarey to hold that thing in your hand and listen to that rattle but in all honesty, they are solid baskets.
Case looks repairable. A good welder shold be able to handle that.If you end up needing them. They're all over ebay. Look under dragbike. Prices are way down on that sort of thing.
It's your nickle but IMO, you're best bet is tear everything down and go through it carefully. Check your transmission bearings out as well.
If it turns out you had oil problem to top end and cams are worn...holler...I've got several sets of stockers. You can have a set for free if you need them...
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