Ok I see where I went wrong on the thread control disc and thread controller spring. I will reroute tonight when I get home from work. Also, I will have to take a good look at the upper needle slot. I looked last night, but couldnt find it. All these itty bitty holes. Yours seems to be on the left side of the needle mount, I will look again.
Does this forum require a web host for pictures such as Photobucket.