if it's still the stock torpedo reg the only way it can come out of the bottom round the lug is if it's getting through the piston o ring inside.
Take the torpedo reg off and unscrew the bottom half, with needle nose pliers take out the piston, there should be a spring below that and a blank plate under that which is over the grub screw. Now re-assemble it all and put grease around the oring on the piston, making sure it's pushed down against the spring, then back out the grub screw, pressure it up and then screw the grub screw in again to raise the pressure.
If that doesn't fix it then the piston oring has gone and you need a replacement.
Beaks