Suspect rear wheel bearing broken

Unfortunately a collapsed bearing and a broken shaft would both potentially cause the oil seal to go.

You can easily check for a broken shaft, just jack the wheel, put the car in gear and with the hand brake off and see if the wheel turns. If it does, either the drive shaft has snapped or there is a fault with the diff.

If it is locked in place (by the engine and prop shaft then it won't turn.

You could also try in in neutral and turn the prop shaft by hand, the jacked wheel should rotate.

Robin

If the bearing fails the wheel and half shaft can fall out!

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Change the wheelbearing and it should fix everything.

Don't turn the wheel round by hand when one is off the floor, or you will be absolutely convinced from the feel and noise that there are shattered teeth and broken bearings in the diff.

It is just a characteristic of the 4 pin suzuki diff!