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Help please 74 elsinore running crazy?

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Ok where to start, i bought a honda elsinore MT250, it didnt run all that well so i bought a carb rebuild kit. so i rebuilt the carb and it will not run without the choke on, it seems not to responde to needle changes as well. i rode it around the block to try and clean it out. it statred really smoky. after about a 1/4mile ride when i returned the throttle back to closed position the motor didnt seem to wind down instantly, so it seems that it is running too lean. I went back to the garage started the bike after 10 min of kicking it finally fired ran for 10 -15 sec the the motor rpm's shot up super high. i mean crazy high so i turned the kill switch, nothing pulled the spark plug wire, nothing still running (this is my first experience w a motor running with no plug wire so i am freaking out.) finally i pull the fuel line after 20 sec it dies. whew. I noticed this morning that the trans has no more oil in it, is there a possibility that some of the smoke commig out of the motor was trans oil due to bad crank seals?

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You have bad crank seals, the engine has a massive air leak. You are going to need to split the cases and replace the seals.

Yes, you were burning the trans oil. This is why the engine was running so lean and not returning to idle.

Fix the problem or you are going to seize the engine.

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