i dont see a component on that diagram that has 3 leads.. If i had to guess, the thing in your first post is a voltage regulator. If so, it's not the cause of no-spark.
also no color codes for wires :/
That kill switch must not be closed.. The wires must not be grounded either.. Otherwise it grounds the coil and you get no spark.
So, if either wire shows continuity to ground, or to eachother through the switch, you may have stumbled across the answer..