1997 4eat locked up

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Hello
I bought a 1997 legacy outback, recently. The previous owner ran 2 different size tires on the front differential and needless to say..., disaster. The pinion shaft and ring gear, shattered along with the differential housing. However, I could drive (around my circular driveway not, highway)just on the rear wheel drive. Other than some clunking from the front differential, it drove ok. So, I bought another "good" transmission from another '97 to replace it.
Low and behold, 16 flashes and no fluid circulation after install. Pulled it back out and discovered that the torque converter was jammed into the bell housing. After several hours, I got it off but, it was mushroomed and unusable. The center shaft turns and both sets of splines are unscathed. I took the converter from the original transmission and put it in the one I bought. Both sets of splines/clutches inside the converter turn freely. The center shaft turns freely. When the torque converter is seated, it won't turn. There is a dead solid stop, lockup", in both directions..., why?
When I put it back in the original transmission, seat it, it spins. Is there a lockup on it while out of the car that will unlock when powered up/connected to the tcm/ecm? Or is it broken? I am thinking about pulling the pinion shaft from the locked one and putting it in the original transmission, along with the bell/differential housing since, it spins and it drove ok.
Thoughts?
 
You will have much better luck finding answers to technical issues on a model specific forum. Try the Legacy and Outback forums. They're filled with knowledge. Search before you clutter the sites with new threads, please.
 

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