I fixed it! the drive cable pulls up on an arm on the differential case, which makes a drive pulley on the top (in operating position) pull back. If anything interferes with the drive differential rotating on the shaft until the drive pulley tightens on the drive belt, you get slippage. I followed the owners manual procedure as if to change the belt in order to go in for a look see. (I am an engineer, can't help trying to fix things.) When I finally got the rear axle and drive belt covers off, I found an extraneous spring, hanging on the differential case. Could not find anything onto which it could have hooked on the other end, and with all the cowlings off, the handle pulled the pulley as tight on the belt as one could desire, so I removed the extraneous spring, reassembled, and after cleaning up the oil spill, the drive worked like a charm. Either the cowlings had been misinstalled, or the spring found in the assembly was wedging between the rotating differential and the coverings, preventing full engagement.
two other notes:
This adjustment was run all the way into the plastic housing on mine, definitely slack, which would be one minor shipment QC problem. For those who don't realise it, there should be a little bit of smooth roughly 1/4" round stock showing between the nut and the plastic housing. With your right hand thumb pointing in the direction of the cable, away from the control housing, your fingers point the way to turn so that the shiny adjustment nut (not the plastic covered part of the cable) moves out of the housing, tightening up the control cable; however, after making the adjustment even to the point the levers could not even be moved a quarter inch, I still had nothing for torque transmission. The lever engages and disengages the wheels, if you lift the rear wheels off the ground slightly, but, the belt is slipping or the differential is slipping none the less. I have read the belt replacement procedure and am about to take a look under the shields. Cover Me, I am GOING IN!