Nuendo 12 creating duplicate regions in wrong file

I am highlighting a range within a single audio track in the project window, then using Command+R to create a region. It does this correctly, but also creates the same named region with the next number start count up after the name, in a different file that has nothing to do with this file, and that correlates to nothing, except length of the region. The audio in region is whatever the audio happens to be at that moment, which is totally random.

This is creating havoc in my project!

Thank you!
Mac 10.15.7

I think I know what the problem is – when an audio file/region is physically on top of another on the same track, Nuendo is creating the same region, at least in length, on the file underneath. This behavior is terrible. This feels like a bug to me. If it’s on purpose, it is nonsense.
Thank you!