In my H22 swap I left everything as is with the internal coil distributor setup and used my H23 engine harness. Then used a 30amp blade fuse to jump the extra connector that would normally be used on the H23's external coil setup. It's the simple way to do it without ripping the harness apart and removing the wiring as a whole. No problems here.
Should look something like this...
If there was water in your distributor I would at least open it up and make sure things haven't been fried due to being wet and shorting out.
