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The" leaks " does not mean leaking around the Reg..they are a possible diaphragm leak inside, so the test is to check the vac line port for fuel w/vac line OFF and the car running at idle.. if fuel comes out that port with that test, the reg is allowing unmetered fuel into the intake and causing a rich condition of the a/f mix, thereby flunking the test.
Common failure.
Just so I am clear..