The "Damned Crack" was a description used by Bill (Bisley) Brown to describe one of the great problems of the SMLE forestock. Brown knew what he was talking about as he was a six time member of the Canadian Bisley team and three times Captain of the Team. SMELLIE frequently shot with him, and he passed a lot of his knowledge along to SMELLIE.
There is a weak area at the rear end of the forestock in the trigger / sear area. The wood is thin there, where it is inletted to take the trigger and sear. Later modifications were to inlet a small metal piece to help keep the crack from spreading and happening. As mentioned, it could easily be caused by someone attempting to take the butt stock off the rifle without taking the forestock off first. Turning the butt stock bolt generally spread the wood at the back end of the forestock, forcing it apart under pressure, and cracking the rear end of the forestock in this thin area.
A SMLE with this crack in it generally gave vertical stringing.