Leak solved!
 

I finally had the ps leak fixed.

An oil seal and an o-ring was replaced. The shop removed the whole rack assembly. My problem was it seems that there is no original seal kit for this car in my country.

I had to bring the old oil seal and just look for generic seals that perfectly match in size. Fortunately, i was able to find one. Onlly cost $2 and $27 for the labor charge. Quite cheap for a MB repair. : )

I just used a generic Castrol ATF. It works fine as of the moment. The Benz shop here said it is perfectly safe to use this.

Steering Leak / 96 E300d
 

I have a leak in my steering system some where near the banjo bolts I think, and I have heard you guys mention o rings where the banjo bolt attaches to rack, just called dealer and they told me they were copper washers not o rings. Thanks for any help