This sounds quite similar to the issue I am experiencing. I posted to this forum about an hour or two ago describing my situation.
http://duc.avid.com/showthread.php?t=284951
However, I have none of the technical issues mentioned in the responses to this post: I do not have wireless (standard network adapter is disabled in Device Manager), I am not using an onboard video card (got a fanless ATI), I am not recording to the system drive, I have no external hard drives of any kind and this custom-built machine is not a Dell.
That having been said, my post has generated no replies thus far. :) I would be so unbelievably grateful if some of you who diagnosed this posters' issue so quickly and easily could take a moment to look at my Sandra report to see if you notice anything that jumps out at you as a possible cause to *my* similar problem!
Melodic777, do you get the static/distortion on instrument tracks when they are record-enabled, or only tracks that have their input set to your interface?