Sturmey Archer Right Hand Axle Guide Nut for S3X Hubs - Short - HMN420

I am trying to get to the bottom of how the RH nuts assemble on my Raleigh Caprice Ladies 3 speed bike having mt father in law rebuild the hub he put a much longer indicator nut on that he had laying around. The one that came with the bike is short and has no flats on which to put a spanner, just a knurled section to tighten it by hand. The longer one dad used seemed to long to allow the gears to engage properly and the gear cable is very very tight.
Have you seen this type of nut before and what other nuts / washers should go onto the axle to allow you to tighten the wheel to the frame?