fan wire made contact with the psu electrical components some where inside judging from the video. ATX cases were designed for the psu to be at the top with this type of psu having the fan facing down. gravity and or the fan made the extra length in the fan wire contact the heat sink and melted the plastic off the wires. the plastic model fuel lines used to sheild the wires is loose enough for 4 wires before being snug, i bet this either melted or slid down out of place being the fan is on top and allowed the fan wires to make contact with the electrical components and the fan clearly aided this judging from all the sparks before the fan finally died due to the wire breaking and the fan powerlead resting on the electrical components some where on the board still drawing power and then you see the psu pop and smoke as the fan grinds to a halt and the monitor shows the flat line at 13 seconds roughly.