Cubase stopped recording

Was working on a project, then suddenly Cubase will not record anythingh - NOTHING happens when I arm the track and start recording

When I arm the track, click record - NOTHING HAPPENS - not even an empty track created

Checked VST connections, checked device setup - all fine and correct , sound card driver updated (Saffire LE 1981)

Interesting thing - when I open a previous project and record on that , it works

When I open a new project and record MIDI on track - no reaction at all - not even an empty recording track

Using a yamaha s 90 XS , quick setup 1, Saffire LE soundcard , left locater set to1.1.1.0 , right locater set to 74.1.1.65

Just have no idea what is going on , any pointers will be appreciated !

Further report :

I have since established that in a new project it can record and all is fine.

For that specific project I was working on, when I arm a new track and press record - nothing happens

When I add a new track and press play … and then the record button - it records again - though it uses the wrong instrument

When on an existing track, arm and record, noting happens… press play and then record - it records and uses correct instrument

Such strange behavior

Could it have something to do with Cubase preferences - MIDI THRU is turned off ?

I have to turn it of for this project to record drum tracks from the Yamaha using arpeggios