here is another picture.
I have circled the items in doubt one is a white box labeled T2
The other is the IC with 3 legs and a thick top (Dead Center top)

If I could even have a look at a working unit it would help but the guys on the BMW forum are not much help nor are the guys who made this unit.

There are 4 points sticking out the epoxy and the PCB is soldered onto these 4 poles. They provide 15 volts a/c. My first problem is that my 7805 which powers the pic is not geting any input voltage. The input is traced back to the burnt component. So it must be taking the a/c voltage in and converting it to d/c before passing it on to the 7805.
If I short T2 the unit seems to boot up but I see smoke from the burnt IC.

The circuit looks identical to the ones you guys built here and to the application note on the Pic site. I can take a wild guess what it is. But really need a part number to buy a replacement.