I'd check for lug recess setback. The bolt handle may have broken off due to it acting as a safety lug, or the action being jammed so tight they had to hit the bolt handle with a mallet to open it.
Agree with Picher, it was done back when surplus rifles were cheap, gunsmith pay was low, and the sinister 10% of the population not much interest to Remchester.
Perhaps not economically feasible but an interesting rehabilitation project if you have the tools and knowhow. I sure would not pay somebody else to work on it at current rates, though.
For some reason the bolt handle is the only **** poor weld on the thing he didn't get a full-pen weld on it you can see it in the picture. If there where bolt set back it would have some head space but it don't, it closes on a go gage with a feel, a no-go is not even close, I like this guy.