You need to get to the ABS / ASR computer data / codes to figure this out. I'd probably unplug the ABS / ASR computer and see what happens. I haven't done this and am assuming this won't cause some sort of engine side fault code / limp.

Somewhere on this list there is a procedure to jumper something in the 38 pin to fully disable ASR for dyno testing.

This car should have an ASR off button in the radio area switch bank, have you tried this? According to others, this only reduces but not totally eliminates ASR.

The ABS / ASR is bolted to the engine computer , it is about 1" thick x 10 " long and 4 " high. It will be marked ASR and / or ABS

The 97 ME 2.0 / ME 2.1 is full drive by wire, the ASR first reduces throttle and it this does not work, it applies rear brakes on rear wheels that exceed some % of front wheel speed.

The W210 seems to have grounding corrosion issues, have a look at the under hood ground points and take them apart for cleaning. Someone else had a no run condition that was traced to a bad ground near the passenger side computer box. I have a 97 W210 parts car that intermittently has trans limp mode / left fog light on and high beam indicator on the dash that I'm betting is a ground issue.