From what you described it sounds like the timing is advanced when starting. I'd try a different CDI box and make sure the flywheel is on the shaft in the proper position and adjust the valves. Does it kickstart OK ? I suppose what I'd do is take the spark plug out and see how it cranks without any compression, this would also should show a problem with the clutch and variator if there are any, check for spark, adjust the valves. There ought to be a way to check the ignition timing while cranking.. do you have a timing light?
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