The first was everything was hooked up except for the red wire on the actuator. The engine will shut off. (I did not test the anti diesel solenoid because I assumed it functioned)
The second scenario was having everything hooked up as it should be. I had a continuity tester on terminal #1 of the controller. When I hit the estop or key off the light stayed on but got dim a little. The engine will not shut off.
I've never seen anything like this M, so I'm trying to think outside of the box. The puzzling thing is red wire that goes to terminal 1 of Precision Gov controller is same power wire that goes to terminal on actuator. You can disconnect wire from actuator, everything now works proper, engine shuts down proper. Connect wire to actuator, as it should be, and red wire remains powered up when E stop depressed, engine keeps running.
Logic indicates problem is coming from Prec Gov giving a voltage feedback coming from terminal 4, passing through magnetic coil of actuator, then sending power on to red wire that powers everything. Never seen this before, but the only place I can see feedback coming from is signal from ignition circuit on terminal 3, don't know if it can do that or not, it's just the only place I can see where feedback would be generated.
If all this is true, having Precision Governor repaired/replaced would likely fix your problem. Or, if ya feel like doing something out of the ordinary for the hell of it, install a diode in the wire that goes from terminal 4 to actuator. I'd be curious if that made things work proper, and would basically confirm faulty Prec Gov controller.