Engine Rebuild

I have a 1996 4runner that the head blew on it so I rebuilt it myself. I've this before so it isn't that bad. It is a 4 cylinder engine. I figured that since I was in it to the head I minus well go ahead and rebuild the whole engine. I pulled the engine out and started rebuilding. I made sure that all torques specs were right and that it was at top dead center. When I put the engine back in, I put the torque converter on the automatic transmission and lined the engine up. I bolted the engine to the transmission and remembered that I hadn't bolted the flywheel to the torque converter so I had to loosen the engine back up an bolt the flywheel and torque converter together. To get to all the bolts I had to turn the crank with a wrench. Once everything was together, I tried to start the engine and it just clicks. I have lights and everything. I did try to put the transmission in untrue and it will not roll. Did I mess something up here?
Thanks, any help will be appreciated.

If the engine was properly assembled when it was rebuilt, you can turn the crank all day and nothing inside will change.
Normally when you are installing an auto trans, or in your case the other side (the engine), you bolt the torque converter to the fly wheel (flex plate) and you have to rotate the crank to get to all the bolts. There's even a special tool to make rotating it easier.
I don't understand why you had to "loosen the engine back up" to do it, you should have complete access with the converter dust cover removed.

So I don't see how you could have messed anything up that would prevent the engine from starting. More than likely it wasn't going to start if you had bolted up the TC correctly the first time.

Thanks for the comments. When I loosened the engine to transmission bolts I heard pop. Like something was binding. When I tightened them back up everything turned freely.
Now I have another issue. Once everything was hooked up, I started the engine and nothing but white smoke came from the exhaust. I pulled out the # 4 spark plug and steam came out. It's unlikely that the temperature got hot enough to blow the gasket again since it wasn't run long. Could I have a crake in the block? This is what it sounds like to me.