I recently bought a used 0-3mm (0-1/8 in) keyless Albrecht chuck, mainly for use as a handheld pin vice. It turned very smoothly, but was a little too easy to turn and looked dirty.
Took it apart today. What had happened was that soluble oil coolant had gotten inside and washed the original grease away, but the coolant had run out of anti-rust additive, so everything was covered with fine red dust, and most solid steel surfaces were stained.
However, there was no non-cosmetic damage, so I cleaned it all off mechanically (not chemically), regreased it (with Mobil 1 synthetic grease), and reassembled it. It works perfectly.
Joe Gwinn