we've been discussing the smoke on the VR-4 too, it looks like it is coming out of the middle of the car, rather than the exhaust, so it might be the rear diff - but then that wouldn't be hot enough to make the oil smoke (well unless it was really screwed!)
The Legnum definitely owned it on the handling track though, beating it by 2 seconds!
If you have a look at the 1st corner on the 3rd lap, the legnum takes the legacy on the outside, now thats impressive considering it is standard. the legacy's handling was owned on every tight corner, but the power to weight ratio of the legacy helped it in the straights.
I also noticed (assuming that the drivers' abilities are on-par with each other) that the Legnum driver looked at ease, with the car under control whereas the Legacy driver had to catch it a few times, especially in the tighter corners. Interesting demonstration of the side-by-side abilities around corners though. Almost like a drift-battle ('cept no sideways action of course!).