Did you have a new voltage regulator before the meltdown?
What brand was it if you had a new one?
You have something that is shorted out. Question is what?
First thing I would do is check wire harness to make sure it is OK. Next thing make sure you have a good ground.
I worked on a IH Cub Cadet 126 that same problem you are having (battery sparking when wire is connected to negative post). I removed one wire at a time and tried to connect negative wire to battery. The starter solenoid was the problem.
I have purchase several wire harness off Porch Electric for different IH Cub Cadets I've work on. It is easier to get one made up than to try to make one.
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