Engine Harness Troubleshooting Help Needed

[headejm]

Trying to get to initial engine startup. Car has been completely rebuilt using a lot of original components including the various wiring harnesses. Connected the battery, turned the key on to accessory and smoke started coming off the engine. Shut the key off and disconnected the battery. The smoke was from the blue wire running down the passenger side valve cover. Totally burned the insulation off of that wire. The wire does quite a bit, goes to the alternator horizontal field connector, goes to the ballast resistor, goes to the voltage regulator, and goes to the ignition coil +. The part of the wire with the most damage is from the alternator field and running the length of the valve cover.

Any ideas on troubleshooting? 

[JS29]

My though's would be to send the alternator to an electrical shop or trusted parts store, and have it checked out. After seeing a similar thing happen to someone before, I place the positive cable on, then place A test light in between the negative cable, then on the battery terminal. if the light is on and every thing is turned off than you have a draw somewhere.   

[anlauto]

I had the exact same issue once. In my case, that blue wire also fed the idol stop solenoid. In this case the solenoid was shot causing a ground so the blue wire didn't like being grounded....I don't know the answer to your case, however I would suggest looking to see where that blue wire could mistakenly be grounded. 

[1 Wild R/T]

Unplug the alternator & voltage regulator, then try again...  Next plug the regulator in & try it... I've had three vehicles I was asked to fix because the new rebuilt round back alternator was built wrong.. They fail to insulate the field connection since most round backs are the 61-69 style which pulsed the 12v field connection, only 70-71 round backs have an isolated field winding which is fed a constant 12v & the ground is pulsed.... In 72 they went to the square back with is what many rebuilders expect to see when building an isolated field alternator....

[dodj]

I agree with wild. If your blue wire is not grounded along the valve cover, it is likely to be your alt.
Check your column and B/H connector. After a high current event like that you may have melted those connectors a bit