Help with what I think is a 82' KZ650 CSR H2

Couple of questions. In the pic I have put on a breather filter (#1) in hopes to stop the oil from coming out of the nipple. Using 10w40 oil. Works fine until I get it warmed up and really going and oil still spurts out of the filter. I have plugged the main suction hose that used to go to the air filter box that connects all the hoses #2 and #3 under the fuel tank. Why is the breather spitting tons of oil? Also when I first worked on the carbs the mains were 110 and the pilots said 37.5 on them. It has 4-2 exhaust and Im going to put pods on once it is running. I can get it running cold with some starter fluid help and will start up fine afterwards when warm. The plugs are a little white but nothing crazy. Some one said they think my carbs are CV. I cant find much info on his bike. What size main and pilots should I start at? And will that help my bike start on its own?

Yes, those are CV carbs.

Before you get to carried away with changes, I suggest you do a compression check.

And will that help my bike start on its own?

An air box. Skip the pods and put on a stock air box.
You and your bike will be much happier.

Check the oil level too. If you have too much, some will blow out of the crankcase vent.