Mercury 30 hp wiring burnt

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Discovered small electrical fire today on my Jon boat. This is a 1996 30-hp Mercury tiller. Wires just below starter burned today, Not 100% certain but believe one of the wires came unplugged and had a direct short by coming into contact with block and it fried 6-wires. 5 of the wires fried go to this block in the picture. Question is what is this piece in the picture, what purpose does it serve? Motor ran fine so either fire did no effect something critical or I just got lucky and made it home. Two red wires run directly from the starter solenoid easily repaired. Two yellow wires run underneath flywheel also easily repaired but done even know what they are? Gray wire I assume is tack, even though boat does not have a tack on it, it runs into a small wiring harness that I am hoping I can pull apart and splice back in. The only other wire fried appears to be pink? It was right under the block pictured. Again it runs into the wiring harness and I am hoping I can also splice it in. Any light that can be shed on the purpose of these wires would be helpful, I am fearful that those running into the harness might not be repairable. My other concern is could a malfunction in this block have been the source, I don’t think that is the case but just want like some input.

that is the rectifier regulator and it converts the electricity created by the stator from A/C high voltage to D/C 12 volts
yellow wires are incoming A/C from stator, should be a plug connecting them.
red wires are D/C output
gray wire tachometer signal
pink???

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Thanks Chris, that is what I thought when I saw wires from stator/flywheel. Pink wire was not attached to rectifier just siting underneath and a causality. I am not 100% sure when wires burnt but had a dead battery when I went to use it yesterday, just grabbed spare battery and ran boat without issues. It was not till I returned home and pulled cover to spay down with CRC that I discovered the burnt wires. Could the rectifier have gone bad and fried the wires or is more likely that one of the wires just came loose and shorted out starting the fire?