Ok. Now I have a better understanding of the siituation.
If this were my truck, I would do the last thing you mention. Tear it down, clean, and rebuild. The reasons being that you have had a serious failure to rip a yoke like that. I have been rebuilding rear ends for 6-7 years now and I have never seen a failure like that. This makes me think there is something internally wrong and a teardown is in order. At the very least you likely have metal shavings floating around and with the hydramatic fluid mixed with the gear oil, it can't be good for the internal parts in the TT.
Take a look at my Webshots page. When I did my 3:55 gears a few years ago I tried to document every step so others can see how I did it.
I would at least get the bearings and rebuild kit and start new. I would also HIGHLY recommend the 3:55 gears if your budget allows.
Now, to answer your initial question, the best way to remove the bushing is to insert a pipe up the TT and knock it out. To get mine out I had a buddy fabricate a tool for removal. Here is a pic of it :
Removal Tool In the photo the bushing is on the right, then the tool, then the pipe.
That will get the TT all cleaned up and ready for many years of service. Now for the Hydramatic oil issue, the trans may need rebuilt. At least the rear seal replaced. I have never worked on they type of tranmission, hopefully someone who has will chime in soon....
