It could be that your thermostat housing is from another engine. That looks like the remains of the the temperature sensor for either L-Jetronic or Motronic EFI engines. or as x_atlas0 suggests just a plug that has been inserted.
Slow running fan could be, especially if it's in front of your radiator, being to sieze up due to lack of lubrication, poor wiring connections, bad ground (earth) etc.
Might be worth taking off and checking all the wiring, movement etc.
Is your fan run by a thermostatic switch or by one you flip as it were?