1srelluc,
Congrats on a GREAT find. The two pins are for the front sight. The older front Baughman ramps were a one-piece affair that was pinned into the machined recess cut into the topstrap of the barrel. Rock solid.
As far as bringing the grips back, you're in luck! Go to Lowes, Ace or Home Depot and ask for Howard's Feed-N-Wax. It's inexpensive, but one of the BEST wood products to be had.
When you get it home, remove the stocks and be VERY generous with the solution and soak the stocks (on both sides) in it for 3-4 days. Use a stiff toothbrush with the Feed-N-Wax to remove the 50+ years of DNA and grime from the recesses of the grips.
Now comes the other part. After the 3-4 days' soaking, wipe them down with a microfiber cloth and gently remove the excess product from the checkering and recesses of the grips. Go to Auto Zone or Ace and get a bottle of FLITZ liquid (the green liquid in the black bottle).
After shaking the bottle to mix the FLITZ, put some on the head of a Q-Tip and work the emblems over with 2-3 Q-Tips. You'll be amazed at the difference it'll make on bringing back your grips.
The bluing on your Combat Masterpiece is Rust Blue. Meaning that the bluing is IN the metal, not ON it, like the new finishes. It's tough stuff. Gently hand massage the FLITZ liquid into the bluing. Use your hands (it's environmentally safe and won't hurt you) to apply the FLITZ liquid, as using a cloth may be a bit too aggressive. You'll be surprised at the amount of grime and corrosion that will come off of the metal. A word of caution: DON'T USE IT ON THE TRIGGER AND HAMMER. The FLITZ will take off the Color Case finish.
I recently "preserved" a 90% 1934-vintage Outdoorsman with the same formula of Howard's and FLITZ. It works well.
When complete, PLEASE send us pictures of your work. You have a wonderful gun that will give years of pleasure.