The two clear hoses that attach to the carb are a vent and an overflow drain.
The one that attaches to the side of the carb body is the vent. This must not be plugged, and is to remain open to the atmosphere for air venting into the carb.
The other one attaches to a little brass tube under the bottom/front of the carb, and it is an overflow drain, in case your float system overflows.
So both tubes never get plugged with anything, and they are just left open on the far ends. You route the drain hose to where it would drain harmlessly to the ground, and not get on the bike or the exhaust system, if it were to need to let some gas out.
The vent hose can go anywhere that's out of the way.
No kinks in it.
As for the drain hose pointing UP, that could have let some gas get on the coil, depending on where that hose end was.
The coil has a high-tension electrical wire on it, and if it gets wet, it will spark to ground, and that could definitely light some gas on fire. Or if it gets on any wire that has a bad ground, it could spark when you turn on the key, and if gas is there, it will ignite.
I've seen Jaguar fuel pumps cause a problem like that.
Regarding the "floaters"
, there is a little float and a valve in the carb float bowl, that acts just like the float and valve in a toilet tank. As fuel comes in, the bowl fills and raises the float. When the float gets high enough, it pushes a little valve closed, and the fuel shuts off. If this is not set right, or if a little dirt gets stuck in the valve, it doesn't shut off the fuel, and you get overflow. This can happen at any time. If a little piece of grit gets in there, you get an overflow.
This is why it's good to have a little fuel filter in the fuel line from the gas tank.
I don't know for certain that's what happened to your bike, but it might be what happened. It's one of the prime candidates.