Look at this from a systematic process
1) Are all fuses in the game the correct value, and not blown?
2) Is the power supply producing the correct voltages? You're concerned with +5 and +12 at this point.
3) Unplug everything but 1J17, and power the game on. Do the LEDs stay in the same state they are in now?
After #3, I take the board to the bench, using an old computer power supply that I wire to 1J17 to provide the +5 and +12 to the board. I usually go with Leon's Test ROM on a locked CPU, although I'll admit I often swap the processor before I go to Leon's Test ROM, since it's socketed and I pretty much always have a spare 6802 on hand.
I don't know what your abilities and limits are, so before I go on with more diagnostic information, I thought I'd stop here and see what your thoughts are. A good schematic and a logic probe will come in very handy. I like an actual printed manual - not a PDF - in this case, as PDF schematics are often tough to read.