"Proper" shooting postion? I would argue that a "proper" shooting position is whatever is comfortable for you and you can hit the target with.
I find my FAL to be a bit on the long side. Long story short, my support arm gets tired from the 11lb beast when I hold it by the handguard. Holding my support hand under the magazine allows more stability when shooting with tired arms and such, as my support forearm is much closer to the vertical and supports that weight better.
This does depend on where on the handguard I grasp the weapon. If I wrap my right (support) hand around the magazine well, I can get a very stable position, but I have to make doubly sure that my thumb isn't covering the eject port. (If you do this with an AK, make sure your thumb is clear of the charging handle...I got smacked once and it was NOT pleasant.)
The Russians, I believe, actually teach using the magazine as a monopod/foregrip. A number of shooting schools advocate using the magazine of an AR carbine as a kind of foregrip.
I've heard of the exploding weapons as you describe. Can't say I ever worried about it, but anything's possible, I suppose.
However, a more common occurance (at least with AR-15s) is that pulling, pushing, or applying too much pressure to the magazine can cause the weapon to jam. The magazines are pretty flimsy and often (on GI M16s, at least) have a little wobble when they're snapped in. Pulling on the mag can jam the weapon; doing it too terribly hard can permanently damage it.
Now, on weapons with rock in/lock in magazines, like FALs and AKs, it's not so much of a problem. Also true with weapons with steel magazines (again, you've got your FALs and AKs in this class, usually).
If anybody else suffers from Heavy Gun Syndrome, fear not. In my experience, when the adrenaline gets pumping, you tend to forget all about how heavy your weapon is. During various combat drills I've often snapped my 20lbs (loaded with 200rds) M249 SAW to the shoulder and fired off a burst; you forget how heavy it is when you're all excited and such.