Can anyone tell me if what looks like a damaged crank is indeed damage or something that is there to balance it or something.

 

Rod

I can't make out anything in the little pix.
If you're talking about what looks to be chunks broken off the cornors of the throws, thats normal. I don't think I've see a cast flathead crank without chunks missing.

The best way to check a crank is to hold it up from the end with two fingers and lightly tap a counterweight with a hammer. You should get a clear bell like tone.

 

If you go into his gallery you can see a larger pic of the rod journal. I haven't seen a piece missing from that area, but it doesn't look fresh and has probably run a long time that way.

I wouldn't worry about it unless you get severe vibrations from the engine.

 

I just tore down a 53 Merc Flathead I picked up in Idaho last week and noticed that spot on the crank. I have never seen a spot like that on any other crank before, I'm just curious what caused it. I plan to run it, it's only turned down .010 on the Rod and Main Brearings.
thanks for your repiles !!!