Kevin - does the upper pivot bolt have a plate on the inside ? When compared to a Nuovo Record derailleur, there's an additional part on the inside of the bolt that goes between the derailleur body and the dropout. If I recall, that stamped steel piece tightens against the dropout but allows the upper body peice to pivot.
One of our list members has a "sorta" Rally - actually an unusual transition model - that has this plate. See Eboy 310138749965.
Mark Petry
Bainbridge Island, WA