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Not visible in the pictures but what does the back-tension band look like? A thin brass (sometimes plastic) band around the supply reel one end to a right angle plastic piece that's affixed with a screw and adjustable, the other attached to an arm that rides on the tape when it's playing-recording controlling the tension on the tape. Should be a felt lining in that band. Seen many where the glue dries out over time and the felt falls off, maybe down in the mechanism somewhere. So you have no back-tension on the tape. Sorta what it looks like to me.
Heads used to be dirt cheap for those Matsushita-made 2 head units. ASTI Magnetics was our source 10-20 years ago when people were still payin' to fix these things.
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