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Gene
The alarm system disables the starter motor and possibly the complete ignition, not just spark output. So if it was the alarm you would have no crank at start.
Are the sparks in the correct order?
Bet it's distributor and rotor. Recently mine broke down too (how embarrassing) especially as I like to go on to my colleagues about elder MB quality and how buying a +10 year old car is the ONLY choice. However there I was with my pregnant Mrs and complete start failure (at the traffic lights too!!!) and I had both fuel and spark.
After some backfiring and patience (not advised with cars fitted with CATs), she finally started and I limped to my local garage. Careful inspection highlighted evidence of arcing across all distrib contacts. Replaced both and rotors too - all is now well.
I would personally just get them changed anyway, especially as you are having electrical problems and there is also no maintenance period on these items; and there should be!
Lea
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