Rear wheel bearing: Play can't be adjusted

As ever, I would gratefully appreciate advice from the members of the TDIClub forum.

Car: Golf MK3 TDI (1995) 1H
Rear Brakes: Drum

Symptoms: (Rear Left wheel)
· Play 3/9 O'clock, 6/12 O'clock
· Slight sound when spun by hand
· Slight vibration in spring when spun

Implications:
Adjust or replace Rear Left (RL) Wheel bearing (WB)

1) Adjust Wheel Bearing
Followed procedure in Bentley (42.8.5) to adjust for play. However, play is only eliminated when the axle nut is overtightened i.e. the thrust washer can’t be moved anymore.

Axle nut was secured with locking ring and new split/cotter pin, the hub then repacked with grease. Car was roadtested, and the rear jacked up to test for RL wheel play. Despite the adjustment, play returned to the RL wheel.

2) Replace Wheel Bearing
Given the lack of success in adjusting the bearing, the RL wheel bearing was replaced with a VAG OEM Wheel bearing repair kit, comprising;

• Oil seal
• Inner bearing (including race)
• Outer bearing (including race)
• Locking ring
• Split/cotter pin
• Grease cap

Tools used;

• Pin punch (for driving out old races)
• 28mm Impact socket (to tap in the outer race)
• 35mm Impact socket (to tap in the inner race)
• 24mm socket (to adjust axle nut)

Followed procedure in Bentley (42.11) to replace WB, but new races were carefully tapped in not pressed in. I noticed that the old outer bearing, was considerably out of shape and had a noticeable flat spot on it, hence assumed that replacing the bearing would cure problems.

After replacing the old bearing I noticed:

• the new bearing was a little quieter
• there was no vibration in the spring

But the thrust washer/axle nut still had to be over-tightened to eliminate play. After eliminating play and roadtesting, the bearing was still found to have the same amount of play (!?).

3) Adjust Wheel Bearing

Have adjusted the RL WB yet again, but leaving a small amount of play in the WB. Haven’t road tested as yet.

Questions:

1) Am I adjusting the bearing correctly, or have I overlooked something ?
2) Why does the bearing have to be over-tightened in order to eliminate play ?
3) Why does the bearing seem to settle in a play equilibrium, despite overtightening ?
4) Is it better to over-tighten the bearing, or keep some play in the bearing ?

5) Throughout, the original axle nut was reused.
(i) Does the axle nut need to be replaced ?
(ii) Is there something wrong with the locking nut ?
(iii) Should locking compound be applied to the axle nut ?

6) Why was the outer bearing flat and out of shape ?

7) Does the stub axle need to be replaced (expensive and time consuming) ?