You need to plug the wading holes yes, timing case and bellhousing if you wade alot then you can leave them in but you have to remove them frequently to drail any build up of oil
Yeah your better to have breathers instead of plugs but you still need to remove them to drain oil if you Use the standard holes
If you fit a plug Heat builds in the case normally not a problem but as soon as you hit cold water a vacum will form in the case and it can suck water through a weak gasket
**** i read it about 10 times trying to work out what you were on about lol
We are not all super literate but i was wondering what hes going to bloke the hole up with maybe his man bits