As said, I too think Gareth's idea may work, given if you are really careful not not thin out the bail too much and there's enough material/rivet to hold the knife together.
Another approach I'd suggest to find the same diameter pin to punch out the old pin, then just re-peen both sides. For preventing it being too tight, I'd recommend check all the tools every (few) taps, and start slow. Alternate the chassis often when peening, and always use a anvil on the other side when peening.