Cubase not working properly with Komplete Kontrol

Hi,
After installing my KK software and all its instruments I keep hitting the same problems over and over.

  1. Not every, but quite a few instruments are being recorded with some ridiculous delays and reverbs on them. And if not right away while recording, then this artefact shows up at first playback.
  2. Drums being crushed into a compressed mess for no reason. Also only on playback, while recording no issues.
  3. Also most of the times recording might go fine and then when playing back or trying to record over it the track sounds like its playing with lowpass filter on. Horrific.

This all while no effects are on any tracks. Blank new project and it does this right away.
The reason why I’m posting this here and not with NI is that the KK software works perfectly fine with my Ableton. So it’s gotta be Cubase.

Anybody have or had this problem? Anyone having idea what could cause this?

It really does drive me crazy since I purchased Cubase 3 month ago and just now I’ve finished going through the manual.
Thank to anyone for a response.
Cheers,