TaoTao 125d - What is this part?
 

I found one of these at a garage sale for free. I got it running, but I wanted to look over it. When I removed the cover for the magneto I noticed the insulation on the two red wires on this part is cracked. I can probably shrinkwrap them but I'm curious what this part is for.

http://i444.photobucket.com/albums/q...psg3bgpeiz.jpg

Are there any exploded diagrams of this engine/transmission? I also need to look into a clutch that seems to slip as the engine warms up. It is the one with Forward, Neutral and Reverse.

That's the neutral switch.

Thanks. I was just coming back to say I had traced the wires and it went to the N and R lights.

valves
 

Do not forget to set the valves on this... before you bend them... lack of maintence .. they do not get done.. they run better..

Thanks for the heads up. I just took a look at Youtube and found some examples. I'll put that on my list. I might end up pulling the head anyway, there are a few drips of oil after it runs and I'd like to get that fixed too.