hello,
just been around the forums & user manual to check if something should be done differently than before.
i’m almost positive i can confirm a bug
try using Direct Offline Processing
just make a simple pitch down envellope ( the tape stop effect )
if the time correction is on, pitch shifting is happening.
if the time correction is not checked, then the process doesn’t do anything ( no pitch shift, no slowing down - audio same as original )
It can be done with the sampler track at least…
but it’s much longer and not repeatable 
This is working fine here. Make sure that you have the latest version installed:
https://www.steinberg.net/en/support/downloads/cubase_pro_95.html
I would also recommend going to Preferences, then Editing → Audio and set “On Processing Shared Clips” to “Open Options Dialog”. If an audio file is used multiple times in a single project, this option will make DOP ask if you want to make a new version of the audio file before applying any processing. This will prevent many possible issues.
Also note that Cubase Artist and Pro have a plugin called LoopMash FX, which can emulate many tape and turntable effects in a musically useful way, automatically following the project tempo:
i am having the same problem. i need to use the pitch with time correction off to create my build ups so the audio sample tempo increases as the pitch gets higher. it used to work when i first purchased cubase 9.5 pro but it does not work now. very frustrating. it will process the audio sample with the time correction on but not off.
it’s happening again to me on 10.5.12 build 123…
direct offline processing > timestretch > envellope > time correction OFF :
pitch shift work but time correction is still applied… tempo not changed 
SO… i had to use sampler track to perform this ( pitch envellope without time correction )
but we can’t copy pitch envellope or other settings between different instances of sampler tracks ( with different samples of course )
