It is also possible you blew just one differential. If you just blew the rear differential, the transfer case is going to send all power to that axle because it is the path of least resistance. The transfer case in the Discovery is essentially open, sending power to whichever axle is easiest to turn.

Like Spike said, this is going to be something mechanical, instead of electrical. I would start with the rear differential, since you said it had been making noise, and drain the fluid and see what it looks like.

 

What year is your Discovery?

 

It is a 2003. Would it still send all the power to the rear, even with TCS? And the front is spinning also. If all the power was going to the rear, would the front drive shaft still be spinning?

 

You are not understanding how the traction control works.
The traction control has NOTHING to do with the driveshafts, it is ALL with the brakes at the WHEELS.
It stops wheel spin, stopping wheel spin sends the power through the axle to the other wheel.

 

Yes, because the traction control is at the wheels, not the transfer case.

In theory, no. How confident is your dad the front shaft was turning?

 

Gonna pull my rear diff tonight to see if it is the rear diff, or an axle. I can move forwards, and backwards with the e-brake set. If the e-brake is off, all the power is lost to the rear which is blown. So my front is still functional. How does the e-brake system work? How come the back wheels aren't locked up when I set it, and try to move. I was expecting it to drag the rear wheels if I was able to move.

 

hand brake operates on rear prop shaft so no rear- diff no handbrake if you have no diff-lock
i also doubt in both diffs at once failure theory
think your rear diff is gone (the story with clunking etc)
check again if front prop is spinning as well

 

Here is what I think: rear differential is gone. Due to the way the transfer case works, power goes to whichever drive shaft offers less resistance- in this case, the rear since it is just free spinning inside the axle. When this happens, no power is going to the front axle.

When you engage the parking brake (which is on the rear of the transfer case to lock the rear drive shaft), the rear drive shaft stops getting power because it no longer offers less resistance than the front, and power is transferred to the front, propelling the vehicle.

 

That's exactly what I concluded last night at 2:00A.M. When I drained the fluid, reached my finger up inside and was able to manipulate chunks of steel inside the casing. Lol. rear diff is definitely blown. So the E-brake stops the rear drive shaft from being able to spin? It doesn't apply the rear brakes. Got it. Makes sense. Trying to find a rear ring and pinion set now. Can't pull the housing completely off till my dad comes with his small air compressor, and impact wrench. Any idea where I can get a gear set cheap? Both local auto parts stores can't get it. Any idea how much it's gonna cost? Thanks for the help guys.

 

A few links below are good places to start.

Land Rover - Parts, Accessories and Information

Land Rover Discovery I Drivetrain Differential Parts Available from RoversNorth.com

Land Rover Discovery Rear Differential | eBay