[AZ 67 C10]

Seeing the 2 wires connected which appear to be grounds i'd say when that wore all the way through you lost that upper ground and it wont run for that reason. Worn out bearings allowed the rotor to make contact with it. You can more than likely rebuild it, or replace it. Take it to a shop and see what they say. If the bearings don't spin over freely its definitely time for a rebuild.