Either DOT3 or DOT4 fluid will work perfectly with the Series 1. 
Leakage from all wheel cylinders suggests that the seals are either faulty or incorrect. When you say they look different, in what way? There could be differences that don't matter.
Most hydraulic cylinders have a slightly matte finish, but a polished surface should seal. If the seals are not sealing, and there is no damage to the cylinder bores, the seals must be damaged or are the wrong size, or are not making sufficient pressure against the cylinder walls; this could be because they are the wrong seals, or because they have been stored for too long and have deteriorated, losing their "spring". 
It is possible the edge of the seal may have been damaged in assembly if this was done without using rubber grease, and it is possible that the seals may have been damaged by contamination of the fluid - not much contamination is needed. Rubber brake components can be damaged just by handling with slightly oily hands, and it is possible that some contamination has found its way into the system, possibly from penetrating oil used to free up unions. If this is suspected, flush the whole system with metho.
John
				
			 
			
		 
			
				
			
			
				John
JDNSW
1986 110 County 3.9 diesel
1970 2a 109 2.25 petrol
			
			
		 
	
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