HR24/200 Has HUGE issues--Lines running vertically through ANY 480i programming

Ok i'm posting in here to get your input.  I just had Directv installed here today, and as he's finishing up we check out the HR24/200, and while the HD programming comes in perfect, the SD 480i has lines running through it

In short:

It's not the TV--works fine with ps3, dvd, etc at 480i, 480p, 720p, 1080i

The HR24 shows vertical lines ONLY when upscaling 480i to 480i or 720p or 1080i

If i set the box to native, then 480i content plays with no lines

Anyone have a fix?  I called the boss of the guy who installed it, who was trying to tell me "your tv doesn't support anything more than 480i" which is BS because my PS3, Xbox360, bluray etc work great at any HD signal.

After him yelling at me on the phone, he agreed to come out on friday.  I think the box has a bad scaler in it??

Any suggestions?  This happens on either HDMI or component, s-video and composite do not cause this problem (because they only output 480i)