Extending my login - not sure how to add my code block in

I have a login script that is great and I want to expand on this but not
sure where to place my new code I have written, I have placed it where I
thought but keep getting errors for else and others when attempting to add
this.

The code I am adding is not complete and will change, but I want to learn
where I should be placing this within this code, it will stand me in good
stead learning this as well. I thought by placing it after the          if
($num_rows > 0) { section and it would perform the else request and execute
my new code, but I get syntax and } kind of errors.

[php]
<?php
// Include the connections script to make a database connection.
    include("inc/connect.php");

$username = "";
$password = "";
$errorMessage = "";

function quote_smart($value, $handle) {

   if (get_magic_quotes_gpc()) {
       $value = stripslashes($value);
   }

   if (!is_numeric($value)) {
       $value = "'" . mysql_real_escape_string($value, $handle) . "'";
   }
   return $value;
}

if ($_SERVER['REQUEST_METHOD'] == 'POST'){
    $username = $_POST['username'];
    $password = $_POST['password'];

    $username = htmlspecialchars($username);
    $password = htmlspecialchars($password);


    $db_found = mysql_select_db($db, $connection);

    if ($db_found) {

        $username = quote_smart($username, $connection);
        $password = quote_smart($password, $connection);

        $SQL = "SELECT * FROM taablea WHERE username = $username AND
password = '".md5($_POST['password'])."'";
        $result = mysql_query($SQL);
        $num_rows = mysql_num_rows($result);


        if ($result) {
            if ($num_rows > 0) {
                session_start();
                $_SESSION['username'] = "$_POST[username]";
                header ("Location: index.html");
            }

            else {
            $errorMessage = "Please check your username and/or password is
correct";
            }
        }
        else {
            $errorMessage = "Please check your username and/or password is
correct";
        }

    mysql_close($connection);

    }

    else {
        $errorMessage = "Please check your username and/or password is
correct";
    }

}
?>
[/php]

This is my additional code that I am trying to get working so I can write it
better.

[php]

/* New Block*/

            else {
                session_start();
                $_SESSION['attempts'] = "+1";

                # setup SQL statement
                $SQL = " INSERT INTO tablebtemp ";
                $SQL = $SQL . " (sid, username, password, attempts,
ipaddress) VALUES ";
                $SQL = $SQL . " ('$sid', '$username', '$password',
'$attempts', '$_SERVER[REMOTE_ADDR]') ";

                #execute SQL statement
                $result = mysql_db_query( *****,"$SQL",$connection );

                # check for error
                if (!$result) {
                echo("ERROR: " . mysql_error() . "\n$SQL\n");
                }
                    else {
                            # setup SQL statement 2
                            $SQL = "SELECT * FROM tablebtemp WHERE sid =
$sid";
                            $result = mysql_query($SQL);

                                if (mysql_num_rows($result) ==0) {
                                            $errorMessage = "Please check
your username and/or password is correct";
                                }
                                else (mysql_num_rows($result) ==3) {
                                            $errorMessage = "You are
blocked, please contact us to get unblocked.";
                    }
/* END */
[/php]