In the process of doing a head gasket and timing belt on my 1992 1.6 TD. I lined up the flywheel mark with the housing mark like the Bently says to, it then tells me I should see cam lobes of cylinder one pointing somewhat up. Mine are somewhat down. And the slot for the 'special tool' are pretty much under the head. Also this may or may not be relivent but the writing on my camshaft is upside down as well. The markings that say Germany are upside down on the top.
Heres a link to my photo bucket I took some pictures.
http://s327.photobucket.com/albums/k470/SuperT-Vw/
Was the car running like that? It definitly looks 360 out
yeah Ive been driving it. Can I simply spin it around after the belt is off? I'll have the head off so I can examine the valves position.
Yeah, then all you have to do is make sure the injection pump marks are lined up.
360° is one complete circle and so if a rotating object is 360° out of alignment, then it is in alignment... 
I meant the cam is 360 crankshaft degrees out. Words > me :oops:
I have to stop posting when I'm tired :roll:
There's something to be said about clarity...