All, the saga continues and ends, (i hope).. I went home and tried the 1w 5B and nothing happened, or so i thought. I pulled off the rear cover which exposes the Volume and Smoke control and could then see the rear light bracket. I engaged reverse and low and behold the lights came on, when looking at them inside the cover. I then looked around behind the loco and could not see any lights .... Um ? What i found out is after i took a phillips screw driver and took the light bracket off, i noticed the two lights were mostly hanging outside the rubber seal. I then pushed the lights in and looked again, still no noticeable light coming out the two holes in the rear.. Pulled the bracket back off and saw that the rubber part that was butted up against the plexiglass lights was bent in and virtually no light came through. After pushing the lights further into the rubber and then carefully placing the rubber up against the plexiglass, Wala !!! alot of backup light. Hope this helps someone else!!
Suggest MTH look at their Quality Assurance checklist and add "check backup lights"
Thanks All.