Hello Mark
They do seem to be a strange size, but since Simat lathes were made as 'el-cheapos' in Sheffield in the late 1940's for a while, I hardly think they would have used their own thread pattern. Common sized grub screws from that era were the BA series, 4BA seems to be the closest to the size you quote. UNF and UNC were still to be adopted in the UK while BSF and BSW still held sway.
I don't think they would have beem Metric either; M3.5 is closest but doesn't match 32 TPI being 0,6mm pitch. Don't forget BA threads have a thread angle of 47.5 degrees which would feel tight on broader angles like UNC
visit http://www.lathes.co.uk a most useful mine of information on all manner of machine tools, the Simat is listed in the lathes section
If all else fails I would be inclined to retap the holes and fit hexagon wrench size grub screws as replacements, hardly likely to detract from the rarity value I wouldn't think.
Regards Brian