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I doubt it was the degaussing circuit. They make a bunch of nasty smoke, but I don't think they would actually burn the walls or anything.
Some of those 60's rca degaussing circuits have a thermistor and a varistor. I don't remember which was which. One was a thing that looked like a fridge magnet with a couple of leads barely attached, one to the center on each side. The other looked like a giant ceramic disc capacitor dipped in soft gooey plastic (think tool handles).
When one of the leads falls off of the magnet looking one, the plastic one burns filling up the room with smoke. I used to disable these, because if it happened, it was a death knell for the set. It's not hard to fix, but nobody wants a set back when they think it just almost burned the house down.
John
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