Wow, you have an interesting problem.
- Can you switch to the SD menus now?
- What happens if you do the HDUI reset Thumbs Dow
n, Thumbs Up
- I still think it is Software corruption. If both Premieres are the same model (TSN's starting with the same 3 characters) and since you have lost all recordings and settings with the C&DE anyway You might drop the problem drive in the good DVR and see if the symptom shows up there. If it does then make a binary copy of the drive out of the good DVR to the drive from the problem DVR. That can be done if you are confident with the Linux commands 'dd' or 'cp' enough to copy a device ie cp /dev/sd??
Do that only if you really know the command line, how the drives are assigned and direction. There are no sanity checks and going in the wrong direction would be bad resulting in 2 bad copies. Other wise use one of the safer Tools like MFSLive http://mfslive.org/
after wiping the first couple of tracks on the bad drive.
Because I think you problem is a corrupted file probably one that was not included in the Software Update. I suggest you download the drives manufactures run from CD diagnostics and run the full diagnostics on the drive.
JFYIW I had a similar problem with a Series2 where an image from the last video was partially displayed in the background and that survived a version update shortly after the drive failed forcing me to install a new drive with a new image and the problem was gone.