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That's an early 1970's MKIII, had a 350 version new from Mick Walker. They produced 250, 350 & 450 versions in blue, with hairpin valve springs and in yellow with desmo heads. There was also a 230cc version for the French market, some of which arrived in the UK. And it is indeed a decompresser lever. It handled beautifully, the cynical suggestion being that the engine output was too low to cause problems for the frame/suspension. I have a fond memory of watching a brand new bike fired up for it's pdi and the chrome exhaust turning yellow then blue for the first foot within 10 minutes.
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NFN 
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