TorqueFlite Burnouts

Yes. It was scrapped, the trans was used for parts to build a big block 65 vintage trans.

I removed the outer race and it appeared undamaged. I don't know if the crack was there from the time the race was originally pressed in or as a result of whatever caused the sprag to roll over. Everything else in the trans appeared normal.
To me those photos and your explanation of the two distinct types of roller clutch failures are one of the best explanations I have seen.
It also explains that even a 904 while not as explosion prone, can still fail the roller clutch and you have a broken transmission.
Low band apply valve bodies and upgraded roller clutches are imho wise purchases for a performance torqueflite of either version. An aftermarket drum with a higher explosion rating is also wise just in case all else fails.
I also re read the exploding torqueflite post and noted that the drum rpm on a failed sprag is engine rpm multiplied by the first gear ratio.
So if your torqueflite has a 2.74 low gear, it is much easier to get the drum to its rpm limit. Most articles I have read claim it is engine rpm multiplied by 2.2