OK..it turns out it was not the moonroof afterall...we had the windshield replaced about a year ago..looks like that is the culprit.Those knuckleheads did a 1/2 ass job..so they will be making it right. My faith in the Yota's is restored.:D
Spoke to dealer..advised them of the reports of seals bad..he didn't know about it,the only thing he has heard from moonroofs are the rattle which he will fix today ..but they are going to check the drains that run down the pillars for blockage and go from there..will keep posted.
We had a BIG rain here last night when the wife left for work she got soaked.....Its at the dealer now....I have read some other post that Toyota knows about this...any updates from other 03 owners that have had this issue.