Here is the background....Bought a 94 Crownline 225br with a rusted up engine due to the plug being left in it, serial #OF354207. Rebuilt the engine, new fuel pump, and rebuilt the carb. Finally got it started after getting the distributor lined up correctly. Brought it up to temp, oil pressure runs around 40psi at idle, compression after break-in is at 150 psi on all cylinders (not bad considering it was a garage hone and craigslist pistons!). My issue started after if fired the first time. It cranked fine until it started then after that it will crank, grind, and skip on the flywheel. Eventually the engine will start and run fine. I thought it was a starter alignment/flywheel issue but after two days of shimming there was no change. I had noticed that the voltage gauge would jump every time the hour meter ticked and the voltage gauge dropped while revving. I put in a different battery and cleaned the starter circuit connections with no change. Then, I hooked my VOM to the yellow/red wire to check voltage while cranking (10.3V) with the coil wire unplugged and it cranked just fine...verified with multiple attempts. Hooked the coil wire back to the distributor and it is grinding and skipping again. I got it started, checked and it is timed at 10 deg. BTDC per the manual for thunderbolt v. Pulled the coil wire again and it cranks just fine. Could it be a bad knock sensor or ignition module? Any help is appreciated!