AC current and water generally dont mix...

Hey all,
I am building a new case, and I plan on taking the case off of an ATX P/S(I am an EE, so I know the proper precautions for handling high voltage devices such as this. I dont recommend anyone EVER take the cover off a power supply unless you have training in that area - <end disclaimer>) and I want to mount it withinin the main airflow, or "cooling channel" of my system(this is seperate from the "channel" that supplies fresh, cold air to my radiator) Due to space restrictions, this is also where my resivour will be placed. I obviously plan on leak testing my system (with external power) before I run AC current near this. That being said, how safe is this setup? How prone are watercooling systems to leaking? I will use teflon tape and threaded connections everywhere a joint is made, but still is this a bad idea?

If you do a proper leak test, you should be fine. I mean, they can always leak, but out of all the water cooling setups I have built, and parts I have reviewed (trust me, its a considerable number) I have only had a leak problem once. And that was because I was hasty in swapping out a CPU block and didn't leak test it.

If you are really concerned you can check out something like the PC Ice fluid @ [user=http://voyeutmods.com]Voyeurmods.com[/url] which is non-conductive and supposedly cools better then water. I have some and plan on testing it out this week.