Can stripped/damaged threads cause an oil leak?

i have a 1980 honda xl125s. the leak is coming from the bolt securing the left crankcase cover. when i first took it apart i noticed the threads on both the bolt and the cover were visibly damaged. i replace the o-ring that goes around the bolt and the bolt itself but the leak remains. could the damaged threads on the crankcase cover be causing the leak?

the link is to the schematics of the bike. just scroll down the page to find the 'left crankcase cover-generator' schematic. the parts in question are #'s 1, 14, and 17. thanks.

http://www.bikebandit.com/houseofmotorcy鈥?/a>Can stripped/damaged threads cause an oil leak?
The metal in honda engines is bad for stripping out - all my XR engines had to be Heli - coiled every time they were stripped down for rebuilds etc.And yes they can leak through bad threads - that's what the thread is on the bolt for, like a sump plug.Have the threads repaired and the leak will stop.Can stripped/damaged threads cause an oil leak?
something must not be alowing the o-ring to seat properly, I doubt as long as it is tight that damaged threads will cause it to leak.Can stripped/damaged threads cause an oil leak?
only if the bolt is loose or loosens when you ride but if it is tight it should be alright