WorldDMT, shouldn't this line:

on :text::%chan1 || %chan2: {
be this:

on *:text:*:%chan1,%chan2: {

And shouldn't this line:

$iif(# = %chan1,%chan2,%chan1)
Be this:

$iif(# = %chan1,%chan2,$iif(%chan2,%chan1))

Also, I think we could get rid of the if statement by combining them in the $iif like this:

$iif((%connection = on) && (# = %chan1,%chan2,%chan1),msg [ $+ $nick $+ ]: $1-))

Unless what you've done is another way of coding that I'm not sure of?