I don't recall ever finding fuel in the area you describe.

Here's a follow up on the air cut off diaphragm discussion that I started several weeks ago.  After instaling the new air cut off diaphragm and running the bike for several hunderd miles I removed the cover from the diaphragm and found that both sides of the diaphragm were completly dry.  No raw gas on the cover/spring side like I found when I first took the cover off.  I couldn't see any holes in the old diaphragm its self so it must have been leaking around where the plunger and spring retainer cup are mounted in the center of the diaphragm.  Changing this also effected how the bike ran.  I had to turn the idle speed screw down as the bike was idling at 1500+ rpms; I turned it down so that the bike idles at around 1200 rpms.  Also picked up 2 mpg (up from 55 to 57).
Changing the diaphragm also moved the area where this bike would backfire.  No more loud POP after each shift.  The bike still has some backfire on the over run, but is now down in the 2000 to 1500 rpm range on the over run, and much more muffled and softer.  I'm going to try DBM's suggestion on plugging the #45 air bleed jet mounted in the top of the stock carb to see if that will help with what little backfire that I have left.  Carry on!!  wiguzziman