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88 seadoo runs bad with a leak

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Turk187187

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Thanks in advance for any replies, I'm new here.
I have a 88 seadoo bombardier which was given to me 3 yrs ago from original owner. It sat for 4 yrs before I got it. It started and ran great for yr 1 & 2. Yr 3 a friend took it up north and ran it with no plug, it flooded, not sank, he said he didn't try starting it until all water was out and cylinders cleared. He spayed everything with WD40, replaced oil, gas, plugs, and filters. Since then it has run like crap. It starts with no problem and idles for a little while. Then will only start with trotted applied. Compression is 145 on front and 135-140 on rear. Startup produces smoke in engine compartment and appears to have oil and/or fuel coming out from behind the flywheel. If started or running with fuel selector off it runs like it should. Not sure what to try or fix first. Any help would be great, thanks.
 
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