Honestly I have no ideas.
Please make sure you have the latest Haali and ffdshow and have all postprocessing in ffdshow disabled.
I never witnessed anything similar. I'm using PAL PS3 -> HDMI -> 1920x1080p plasma tv.
Check your PS3 settings for 1080p output.
multiAVCHD menu is in 1080i - are you sure you didn't confuse it with the movie?
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