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The square ended item you think is a plug of some kind is actually the end of one of the hydraulic motor rotor shafts. You will see it spinning as the motor drives the winch which is why your goo did not stay on it. Hydraulic system pressure in the motor is what causes it to leak. I have had no problems with any of them so I have not had any apart. I would assume I would find o-rings in the cover around the shaft as mentioned by another member. I always assumed that they are on the motors on the wrecker so in case of hydraulic failure poor old "soldier two" helper as mentioned in military manuals could turn it manually to get out of a problem of some kind.