I bought a R 01 "salvaged" bike has 52,000 miles. Engine runs good but when I put it into 1st gear I hear it slip into 1st loud then the engine dies (stops running). No lunging or wanting to move forward the engine just stops.

Tried idleing it again in Neutral then ship to 2nd it seems like it is trying to get into a gear but finally within 5 seconds the engine stops running.

I checked with the Dealer and the transmission recall was done January 07. I popped off the clutch cover and the oil is really smelly and black. Could this be more of a clutch problem rather than a transmission problem? I did have quite a bit of clutch cable slack to take up which is unsual since it was the same cable that came on the bike.

Kind of praying that it is only the clutch so that I don't have to rip apart the cases.

Your opinions are welcomed.