Oily Magneto

I am guessing I have a bad crankshaft seal? It's not suppose to be this oily? My bike only runs if I hold in the kill switch, basically, I have to ground the engine to the white wire in order for it to go. Is this caused by a magneto that is completely saturated with oil residue? Can I dry out the magneto, or do I need to replace it? The blue and white wires are still soldered to the coil at its original places.

If it was the case where the mounting holes are drilled too deep, I would have ran into this problem pretty much since I installed the kit right? It became this oily only recently in the past week or so. I did notice yesterday that whenever I applied throttle from a standstill, the engine would sort of cut in and out only for the very beginning until I reached moderate speeds. Now, I have to short the white wire to keep the engine running. What I don't understand is, if the magneto is shorted out from being oil soaked, why doesn't shorting the white wire still allow it to run fine, even with a oil soaked magneto? Thanks.

If it was the case of mounting holes drilled too deep, how would I fix it?

P.S. Why would the engine run when the white wire is shorted out? It doesn't make sense. For the sake of not having to hold the kill switch down the whole time I am riding, I just run the white wire to the black engine ground (the one that grounds back on one of the magneto bolts), which allows me to ride normally like the grounded kill switch to frame. And the funny thing is, the bike runs perfectly fine with white accessory power wire connected to black engine ground cable. I figure if the magneto is shorted out and completely drenched in oil, it shouldn't work at all. It truly boggles the mind.

Ah, Thanks for clearing it up me. I love when I learn new things from this awesome forum. Sadly, it seems that everytime I fix something on my bike, something else always breaks. Now, posted in a separate thread, my small bevel gear screw came off and almost ground a hole into my clutch cover. My carb slide started to stick and I found out it was because the carb tube got distorted (slide works when I loosen the carb to intake clamp). My gas tank started leaking from the mounting stud welds. And to top it off, I ran by a ninja tree that drops caltrops and managed to flatten both front and back tires. I had the pleasure of walking my bike 3 mi back home under the blazing sun. I ended up pulling out roughly 20 caltrops from each tire.

I swear.....

Norman said:

The ground wire on the mag coil may have come un soldered. Take the mag coil off and check the coils frame there is a small soldered spot on the frame that is where the wiring on the coil is supposed to be grounded that wire is around 26 gauge and it's either broke the soldered joint or broke internally.
If it's broke or un soldered that can be fixed easily by re soldering. If the wire broke inside the coil then you will not be able to fix that.

Click to expand...

But if it is completely soaked in oil, is it shorted out too? If it is shorted out, I shouldn't be able to ride at all, right?

acutally, looking at my 1st picture, isn't the black wire under one of magneto mounting screws the ground? I guess it's not soldered originally and it's still connected.

Got it. So the ground wire inside the coil probably came undone. So having the magneto soaked in oil like in my pic doesn't actually do it harm in terms of its ability to function.