Hmm, what kinds of things change when a transmission is shifted into gear, or the idle goes down a few hundred rpm?
You could be on to something with the converter locking up. How does it accelerate when you do manage to keep it running? Is it jumpy and ready to roll out, or does it have any give in it at all?
What about with your foot on the brake, but pushing the accelerator pedal? Any slippage that seems in the normal range? Or is it trying to jump forward no matter what?
Kickdown lever attached? Any chance that the lever pushes forward on the linkage when it's shifted into gear? I don't think that's how the kick-down mechanism works, but it is a mechanical connection to the carb from the transmission after all. Never seen one move without the carb linkage pushing it, but I don't know how it actually works either.
Hmm, what about trying to disconnect it from the drivetrain to determine if it's engine related, or lock-up related? Kick the transfer case into neutral and then shift the trans.
If it still dies, then you know it's not anything after the output shaft.
Won't tell you if it's engine related, or something binding up in the trans, but it will at least eliminate one area.
And if it works fine with the t-case in neutral, then you'll at least know that it's not the engine itself. I think....%)
Paul