Cannot get to the blue screen

I have a MacBook 2.4 (SN 0P1) here that would only boot up fully via the Safe Boot Mode. Any regular boot via the internal hard drive, an external hard drive or the optical drive would not get me to the blue screen. After the spinning gear the computer will immediately switch to the dark mirrored gray background that is used when booting in the Verbose Mode or Single User Mode and stay there. And the only way to shut it down is to hold down the on button, which also causes the machine to reboot. After erasing, repairing, and reformatting the HD I installed a fresh copy of Snow Leopard on the MacBook with my Mac Pro via the Target Mode. Still only being able to boot fully in the Safe Boot Mode I created an account and checked out other parts of the computer. Everything that is loaded during this type of boot seemed to be working. However, after being prompted for a Software Update and restart the computer it now will not fully boot in any mode. The blue screen does flash now, but for only a whisper.

Here is what I get just before the dark gray screen when trying a Verbose Mode start up…

Waiting for DSMOS…

Previous Shutdown cause:-40

DSMOS has arrived

IntelMemory::intit

IntelMemory::intit

InititPool: offset=0x08000000 size = 0x08000000

I think the last line may read AirPort: RSN handshake complete on en1. I am not sure of this because it is only a flash.

I have another MacBook 2.1 that is fully functional and I have tried switching out the ram (even trying one slot at a time) and exchanging the two hard drives.

Using DiskWarrior did return a lot of incorrect text encoding, incorrect Volume info, etc., but still after replacing the directory nothing changed. I also noticed that when resetting the SMU on the working MacBook with the power cord attached that there is a beep along with the blinking front light. However on this MacBook only the front LED blinks, there is no sound. Is the SMU reset?

Thanks in advance for any help or comments.