Ac-3 Decode Problem

funked1

I'm having a problem using Audigy 1 under Win2k (all updates installed, DirectX 9.0c) in an HTPC. It happens with both the -34 and -37 drivers. I'm going through the Live Drive connectors with a Hoontech SBDBIII. I bring in optical or coax SPDIF from my TiVo and a gaming computer for playback, no recording.
When the gaming computer or the TiVo are sending a non-AC-3 PCM signal everything works fine.
But if they send AC-3 I get the little "AC-3 SPDIF=>DECODE" box that pops up but there is no sound. (Yes I have the "SPDIF IN AC-3 DECODE" button checked. )

I checked the I/O Status window and it says the following:
SPDIF B: 2000006 Freq: 47996; R; S;
I don't get the V for "Valid Signal". I only get the V with a non-AC-3 PCM input.

I suppose it could be the Hoontech causing it, but I was able to decode AC-3 just fine with the Creative drivers. So it would seem to be a driver problem, not hardware.

funked1

PS

----Hardware / Software configuration---------------
Driver Name:kX Audio Driver (Debug)
Driver Date: Aug 18 2003 18:56:52
Driver Version: 5.10.00.3534 - debug
DB Name:LiveBay1
SB0090 10k2 [d400]
PCI Information:
Device: 41102 Subsys: 511102 ChipRev: 3
Card is '10k2'
Card has MPU device
Card model is '5.1'
Card HAS AC97 codec
Codec name: TriTech TR A5/CT1297 TAT
3D Extension: No 3D Stereo Enhancement
Codec is 1.0 compliant
Capabilities[0] :
DAC resolutions : -16-bit-
ADC resolutions : -16-bit-
Ext Capabilities [0]:
Port: d400 Irq: 9
Playback buffer: 20a0
Record buffer: 4000
Number of AC3 buffers: 4
Tank memory: 256 kb
GSIF buffer: 256 samples
OS version: [2 5 0 Service Pack 4; 2 5 0 Service Pack 4; 156 148]
----------------------------------------------------

funked1

PS

I am playing back with analog outputs on the Audigy.

Here's the IO Status when I'm having the problem:

SPDIF Inputs: [R-Rate Locked; S-Stream Locked; V-Valid Audio]
spdif A: unused
spdif B: 2000006 Freq: 47996 [R] [S]
spdif C: unused or same as B
I2S Inputs: (0): 0Hz (!) (1): 48000Hz [R] (2): 0Hz (!)
SPDIF Outputs:
(0): 2109204 (1): 2109204 (2): 2109204 (24 bits / 48000 Hz)