Toyota AD860 Color change problem

Good morning

I have a Toyota AD860 just arrived at home but I have many issues, I will go one by one ...

Color change is not working, the needle bar is knocking the needle socket holder.
The needle socket does not fit on holder (socket is too high by about 1.5mm)

I tried adjusting the holder bar by 2 screws but it does not go high enough

I saw in documentation that needs to be adjusted by a screw only but I could not find this screw.

See picture attached when needle bar in position (using test procedure)

Thanks