I recently bought a 1961 C60 and have found that the engine code shows it's a 235 cubic inch engine.
One source I checked says that the standard engine for a C60 in 1961 was the 261, and the V8 upgrade (if that really was an upgrade :) ) was the 283.
I have assumed my truck has had the 261 replaced with the 235... but I keep running into other 1961 C60's being mentioned that say they've also got a 235. (maybe they haven't checked the number, and it's really a 261)?
Then, some parts suppliers show a 235 engine option for the 1961 C60, for what that's worth.
One forum member here had in his signature line that his 1961 C60 had a 235 in it.
My only guess, with the handful of 61 model C60's I'm seeing with 235's that either A) the 261's didn't hold out and the owners dropped the 235 in there... or B) many who think they have a 235 actually have a 261, or C) some of the 1961's ended up getting 235's instead of the standard 261 engine.
Dan