The Jeep you drove with Selec-Trac was equipped with a New Process (or New Venture depending on what you want to call it) 242 transfer case. It has a standard 2wd position, a full-time 4x4 position that can be used on any road surface, a part-time high range 4x4 position that locks the center diff and therefore is only for loose-traction surfaces, a Neutral position, and a 4x4 low range position that again locks the center diffs forcing a 50/50 torque split. You are correct-there are no hubs. The 242 does not have a synchronizer assembly to bring the front driveshaft up to speed-so it requires the front driveshaft to be turning all the time. Lots simpler anyways-no stupid vacuum disconnects or auto hubs to screw up.
They had a version of Selec-Trac in the early ones as well-but it used a different transfer case-can't remember the model # but nowheres near as good as the 242. '87 up used the 242 IIRC-came at the same time as the 4. 0 upgrade.
HTH
Jason