I purchased a stove 3 years ago that blew because the stove was hooked up as 3 wire plug and the wall outlet was 4 wire. The technician to that diagnosed the problem, said because of the age of the house, 1905, the stove and wall plug should be both 3 wire. I purchased a new stove, 3 wire and need to change my wall outlet from 4 wire to 3 wire. My question is what do I do with the ground. old plug on top new plug on bottom
You should follow the manufacturer's installation instructions, and install a 4-prong cord on the range. You should never replace a 4-prong range receptacle, with a 3-prong.
As @JPhi1618 points out, it looks like your 4-prong receptacle is wired incorrectly. The bare grounding wire should go to the green screw terminal, while the white "neutral" should go to the silver screw terminal.
Also as @JPhi1618 points out. If there's no grounding conductor in the cable feeding the receptacle, you'll have to address that issue separately.