Is the arrow in blue the SCR?
The thing is designated "BT169 1702". Is it the SCR? The left pin is connected to pin 7 of the chip (as shown in circuit diagram).
When I shorted it with alligator click (the red curve), the shaded pole motor no longer trips! (after 20 switches). Usually it trips every 4 out of 5 times. So your theory seems to be correct
If it is the SCR. What does shorting the cathode and gate do to the SCR?
You may notice there is a second SCR in the circuit. I think it is to used to control the second solenoid that is use for Reset. In the Leviton teardown. The Reset is done mechanically and there is only one solenoid to open it only.
I'll tear down it to analyze the connections of the second solenoid after the following issue is cleared.
How come when pin 6 was disconnected from the chip. The shaded pole motor inductive kick can still affect the SCR and C3? Where is the path of the current? Can it still pass via the chip even when supply input was gone?