I do recall water damage to the distressed effect leather interior, esp on the passenger side sill cover and door card. It looked as if it had been cleaned with a pressure lance and water had got in spectacularly between the door and sill. Not a good idea with Morgan panel gaps!!
That's worrying indeed!

Have you detected anything else which carries the same degree of concern?
If I'm going to pay that asking price, I would like to know a few more details about the car
I'm far from an expert, but I found nothing to concern me. The water damage looked fixable, albeit getting a colour match on distressed leather could be a challenge. It may have been a similar leak to Alistair's car, but I suspect not since the water had deflected upwards from the sill to get on the door card. Maybe this was fixed when it transferred ownership?
I would have bought it, but since I wanted to use the 'Max for touring, i eventually found one with an auto box and rear pipes which gives a relaxed if cruisey drive. I remember Hammond's car having a very eager front end and feeling much livelier than mine, but then that may just be because it was the first I'd driven and didn't know what to expect. As I said earlier I liked the way it drove!