RE: ENGINE DOESN'T FLIP OVER
Never run, maybe, but it's been sitting around and futzed with long enough that (from image #2) the prop nut is pitted and the tips of the threads have been worn down so they are flat and irregular. The low idle screw is in so far I can't even see it in that same image. Pull the glow plug and squirt in some oil in case the piston is frozen. The ball bearings could have siezed up, also.
There's a difference between "new" and "never run", especially in a damp cellar or out in a garage. Men age, metal corrodes.