Tim,looks like our thread got purged, this board is getting VERY popular! My experience is with 140s, not 160s, but the principles should be the same. You should not have brake fluid in your brake booster. If you do, you have a leaking M/C plus the drain channel between the M/C and the booster must be plugged. This channel in a 140 booster is a small pressed-in vertical crease in the front of the booster where the M/C mounts. You probably also have a leaky seal around the pushrod exiting from the front of the booster. This is allowing the booster to inhale the fluid leaking from the M/C.

It sounds like you need a new or rebuilt M/C plus at least a new pushrod seal on the booster. I do not know what effect if any the brake fluid will have on the internals of the booster. When they rebuild your booster will they open it up totally and clean it out or just replace the seals and filter?

BTW the Girling part # for the pushrod seal for a '71 (and other) 140 brake booster is 64491061 VP 16. It is 1 5/8 OD and seals around a 13/32 inch (10mm?) pushrod. It has a steel stiffening washer built into it.

Hope this helps. Good luck!