Tell me more about the air leak. That doesn't sound right to have an intentional vacuum leak.
I have had to drill out the main jet to get rid of surging, but not 5 sizes.
Sounds like either there is still a vacuum leak, or at some point there was gas left in the carb and it clogged (even though it was new, it was probably test run, or someone returned it and carefully repacked everything), or the carb is defective.
Have you looked into an Ebay replacement carb?
Being a new engine, look for the unexpected, defects you would normally not see on a proven running engine.
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