Wirelessly posted (htc Pocket PC: Mozilla/4.0 (compatible; MSIE 6.0; Windows CE; IEMobile 7.11) Sprint MP6950SP)
I doubt your battery problems are just due to that led. I would bet you have something else wrong there like a short or maybe your battery is wasted. An led doesn't draw hardly any current to light. Maybe there is corrosion somewhere from the water on one of the boards causing a short that is activating something that draws a lot of power like wifi or some other power hungry feature.