when you hook the battery up it sparks with the key off. I unhooked the stator wire and it dont spark any more. I tested the wires comming from the stator and when you hook the test light to a positive power it lights up which is grounded. And when I hook the lead to a ground and test the wires going to the stator it lights up. This is showing that I have power on the wires (both) going to the stator even with the key off. This motor only has 47hrs. on it.

Thanks

Faulty key ignition/starter switch?

How many amps is being drawn on the battery?

Perform a battery draw test, it should be less than .25ma

If your stator is grounded the engine will not run, or it will be running poor.