Trying to helicoil the head with it still on was foolish at best... BUT, a few small twists of aluminum aren't going to cause a loud knock... it'll shred the cylinder wall and chew up valves. A loud knock or pop could be the result of a sticking valve or a leak around one of the spark plugs where the helicoil didn't seal well or is leaking.
Exactly how bad is the noise?
If some shrapnel did score the cylinder wall you're going to have to pull the engine.
Do you have something against platinum spark plugs?
What make and model plugs did you install?
Pulling the engine with the transmission attached is a little more difficult, but I (and many others) think it's easier than trying to line the engine and transmission up when reinstalling if you separated them.
Right now, I would pull the plugs back out and inspect the helicoils; Then I'd check the spark plugs for damage or cracked insulators; Then check the spark plug wires.
Sorry, you're having such a terrible time with it... mine was a horrible hell when I got it. I bought mine for $300... well, my friend bought it from a used car dealership for $300... that's what the scrap yard was going to pay them. Yup, they were going to scrap it... he probably should have let them. I have more money than I want to think about sunk into this car now and I'm sure I couldn't sell it for more than $5000.
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