Need help with wiring on my 9"x30" lathe master

I have been using this lathe for some time but recently it started stuttering on start up or just not starting at all. Initially I thought I might be having winding issues or a cap is going bad, so I took it apart just to check connections etc...I traded for this machine and was told it was in good working order, it has been a good machine and cuts very nicely. However this is what I found and I need help figuring out where this safety switch wire goes as it came loose when I took the back off. The first picture shows the loose wire, I do not have nor have I been able to find a schematic for this machine. The people before me have made changes to the wiring. I would like to change it over to a VFD at some point.

Which of these of the these schematics would be the correct setup

You will have to post the wiring of the motor, looks like it's a switch for 12 wire motor.

I am in the process of making a wiring diagram

here is the wiring

OK, another hobby-grade machine that is not discussed here. See posting guidelines