Why won't my clutch work?

My clutch is the last big snag in my restoration. One a limited inspection, the cush gear appears to be okay. When in neutral going to first gear the clutch both grinds a terrible sound and grabs pulling the bike into a wheelie. I need help.

Here is a photo of my entire clutch:

And the hardware:

The cork plates are brand new:


The video below gives you the low-down to the two potential problems that have been identified:


This video shows a glimpse of the needle bearing, which appears to be missing needles:

As stated in the video, as you spin the gear you can see it rolls around a needle bearing, but there are some spaces that appear as if they should not be there -- maybe this bearing needs to be replaced -- and the needles should be complete around the 360 degree bearing. Also, when you spin the plate there is some friction/snags at points. But if you spin the gear it turns freely, easily, and quickly.

The small holes in the basket and the plate should line up and the basket should fit the plate correctly. There are two possible settings and neither lines up for me. Note where my fingers are pointing:

When you line up the holes on both plates (in either of the two settings) you can see that clutch springs do not line up and furthermore neither does the basket. See the video with both possible settings and you will see how "off" it is.