2005 Passat Reverse Quit (kind of)

My 16 year old daughter is driving our 2005 passat with 214000 miles on it. Today when you put it in reverse it will engage till you step on the throttle then it disengages. when the car drops down to idle again it clunks back in. This happened with no warning. The TCM is a little wet on the outside and the wires going to it are wet. If i unplug the TCM and put the car into reverse it goes in fine but has no forward gears. I think it is electrical but not sure. Any ideas? Thanks Jeff

Hook up a scanner and look at the trouble codes.

sounds like the D drum quit