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Sounds to me to be a defective switch, this can be tested.
But if the insulation is shot on wiring harness adjoining wires, all kinds off strange things can happen, including fire !! And I can see this happening with either poor quality cars (VW Passat, 1993) or very old cars - all of them..
Once the insulation is 25 years old, more or less, it becomes brittle and starts to flake off. The automotive environment is very harsh, but with excessive heat, oil, anti freeze, battery acids, and chaffing..
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