High Pressure Power Steering Leak

[jazza15]

I installed a new steering rack a couple of months ago and since then my '99 VT II has done 100's of kilometers, but less than 1000km's.
The steering rack was meant to be for a VY, but they suit VT series 2's as well.

So the other day the car starts dumping out power steering fluid and the only thing that seems to have could have triggered it was going down a dirt road, unless this problem has become progressivly worse until it just gave out at this three point turn. There was however a faint trail of power steering fluid leading into this three point turn however which makes me think it could have something to do with the trip down the dirt road.

So I investigated it and the leak was coming from the high pressure hoses, where it goes into the steering rack case. As per the picture, I am 90% sure it is the one on the right closest to you in the shot. I unscrewed this one and found that the 'o' ring was gone (has disintegrated or been sucked into the rack or something) So replaced it with one from an 'o' ring assortment kit from Repco.



Now here is where I think something is up, because as you may be able to see, the 'nut' on this closest hose 'bottoms out' on the case and the nut on the next furthest one does not. This could be causing the 'o' ring to not form a tight enough seal and therefore eventually disappear and cause the fluid to gush out.

So of course my car is parked in the driveway after bleeding the power steering fluid properly and I see a small drip puddle has formed underneath the rack. This could just be the leftover fluid making its way down, or of course the problem is still there and the seal is going to give out sooner than I predicted (a couple of 100k's at least).

So what is going on? Is the hose from a VT II slightly different to the hose from the VY in length? What should i do? I'm thinking about taking it to a steering mechanic soon, but I don't want to go in there with no idea on what is going to fix it or they will probably do what I already did and just replace more 'o' rings.

[jazza15]

I am going to simplify this question into 1 Paragraph: Why is the closest nut on the right 'bottoming out against the rack case? It is causing the leak.
I called holden and they weren't aware of any changes in the hose/joint between the VT II and the VY (it's a 'VY' rack). What am I gonna do to fix it? Replace that section with a new one? Put another washer in with the ID the same as the OD of the exsiting one? Help!