I thought that at first to but, I had it every way possible, and had over 1/2 tank of nice new fuel in it. Its really odd after all of the problems it has had. I'm guessing that there is deffinately a carb problem, and very possibly a top end issue like a bad gasket somwhere. I dout that there is an internal problem, but there is always a small possibility of that.
I am certain that before I got it, the motor had some work done but neither I or the owner before me have an idea on what, so hopefully it was done correctly but from all of the odds and end bolts that is holding this thing together I dout that it was.
Luckily the same shop has a complete/could be running 86 lt 250 motor they will sell me for $150.00 so that may be an option.