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I know this does not make sense yet even the odo shows the genuine run, 98000.
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If the engine hasn't had a recent rebuild (atleast top), then it's going to need one soon.
Man, the prices of 340's are shooting through the roof! Makes us CJ owners feel good, but I don't like the fact that genuine enthusiasts cannot get their hands on one easily. This particular example is definitely overpriced, I've seen Classics (far more loaded + newer) going in the range of 2.5 lakhs. Keep an eye on our classifieds section, had recently seen a Classic with an asking price of 3.0. Can easily be bargained down.
WRT your other CJ340 / Classic questions, please search the forum.