That looks a lot like one of those missed-the-clutchless-shift-and-lost-the-street-race sort of accidents.

When the gear dogs lock face-to-mate face (and not into holes) and the fork is pushing hard and the power comes back on, the cases get a mighty shove right about there...
It may have also twisted or shattered the retaining ring (half-moon shape) that holds the bearing in the case. While it might be fixable, I think different cases would be cheaper? There is not a lot of room under the shift arm to make a plate to replace it, so welding in other things, or just weld, then machining it back, then maybe re-cutting the retainer groove, gets expensive!