Those old Official Police 38's, as well as it's rival, the Model 10/M&P 38 Smith & Wesson's are nice guns. The more of them I see, the better I like them.
I'll tell you what I'd do about that rust. A lot of people won't agree with me, but I've done it often with no problem. Use a little Flitz on it, and gently rub it off. Work slowly and carefully and you shouldn't damage the finish.