Conclusion of a lengthy and hair-rising job:

1. The old alternator, upon seizing, had also broke some of the coil windings inside, and got shorted out once fitted;

2. Had to buy a new alternator, for, guess how much, $300!! plus the labor

3. Right now I enjoy a shot of Irish cream liqueur, and swear in all languages I know

~Good luck to everyone,

Nautilus

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1990 260E Sportline (that's 300E 2.6 for our American friends) -> sold
2001 E320 4Matic Elegance -> my Dad's daily drive
2005 Seat Leon FR 1.8T