I just bought a 1996 Defender and am really staring to have a few issues. I drove it for 2 days with no problems but agreed with the previous owner that the Master Cylinder needed to be replaced, the mechanics did as well, done. Driving it home it started smoking and losing power, especially on hills, I shut it off and let it sit for a few then started and drove home with no problems. Decided to do some general maintenance and flushed the radiator today to see what the coolant looked like and had no problems with overheating once I started and ran it for an hour. I drove around the block and a similar thing happened except this time the power didn't feel like it was leaving it felt like the brake were seizing up all the way around. I got to my driveway and smoke was coming from the hood so I popped it only to see that it was coming from the back like it was coming from the tranny. Fluids are good and clean. I get the anti lock light on when I start it but it shuts off half way down the block. Any thoughts? Everything seems to work fine until its all goes downhill. Only 155K miles.

 

Have you checked the exhaust system, especially the cats...which are next to the transmission? They could have a bad case of melt down....

 

Check the handbrake .

 

was it smoke or steam coming from under the hood?

 

if steam could be head gasket leaking down back of block

 

Really? Nobody is going to ask him where or how he got a '96 Defender? It could be a TDi, obviously there's no '96 NAS trucks, so it must be an import.