What you describe is to me an external leak. The fuel should pass through the fuel dist and into the injectors without leaving raw fuel anywhere else. If you were to lift the fuel distributor from the airflow meter there should be no fuel dropping from it.

One could test this by removing the dist and leaving the feed and return lines coupled to it. I would plug the injector lines to keep fuel running out the outlets from obscuring the test.

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Steve Brotherton
Continental Imports
Gainesville FL
Bosch Master, ASE Master, L1
33 years MB technician