Sorry if I didn't read the whole thread...
Any modern fork up to about 130mm travel will be fine on it, its a '97, they ran a long suspension corrected fork (I know, I had one), and its definitely 1-1/8" steerer.
Forget about discs, just run a good set of Vee-brakes, XT or avid items would be ideal.
If the drivetrain is serviceable, just use it.
However, the crankset used a strange setup where (I think) the outer and small chainrings bolted to the middle one which bolted to the spider. If the chainrings are worn you won't be able to buy a replacement so something like an LX crankset would be your logical progression.
7speed cassettes, chains etc are still easily available.
I think those have gripshift? They were low end shifters in their day, I'd run a set of shimano 7 speed pods. In fact if you need a set, PM me and we can work something out.
For a fork, I'd say Rockshox Tora or similar. I'm assuming the controltech one is a threadless item to go with an upcoming fork upgrade? Otherwise its pissing away money.
I rode one of these a lot when they were new, they are a reasonably light, good handling modern steel frame. The only concessions to modernity it doesn't really have is disc mounts.
Anyway, do what you want.