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2001 Challenger, smokes, starting problems

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x2xllc

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I have a 2001 Challenger 1800 with a two stroke Mercury 240 EFI M2 Jetdrive (Powerhead) V6 motor. Serial number 0E383172.
I just bought the boat a couple of weeks ago and I am a first time boat owner. The person I bought it from started it in his back yard and cut it off after a few seconds to show me that it works. He told me that he had starting problems but he got it fixed. He also told me that he has some sea foam in the fuel (been told bad idea) I took his word and bought the boat.
I brought it back home and it would crank but not start. Took it to a mechanic, he adjusted the idle and the boat started alright. I took it to the lake and ran it for 20 mins. It smoked a lot. Few days later I took it again. Started the boat, and left it on idle as I was waiting for my wife to come in. It idled for a 10 mins or so and then cut off automatically and would not crank again. I called my mechanic and he asked me to un hook the throttle and then manually press the lever at the engine. It still would not crank. He then told me to bring it out of water and crank it. By then it was about 40 mins or so. The boat started outside of water. My mechanic told me that it has bad motor and it is allowing too much oil to get into the cylinders. Another issue, if I try to crank it many times for it to start and when it starts you can see a lot of oil on the floor. This black oil comes out of the exhaust.
I took it to my friend and asked him to do compression test. 5 cylinders were at 100 psi and one was at 98 psi. Is the engine bad? or what is the problem. Could it be that something is pushing too much oil into the cylinders?
Please advise.
 
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Sounds that you have bigger problem than I had but it's worth a shot.
When I put my boat in the lake first time this year it's started fine but ran like crap and smoked alot. Turned out it was the choke that's been stuck....
 
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