Help: Why can't I "nest" a sequence?

BuzzVidiot

New member
I hope this finds an expert ear - I need to create a file for an aspect ratio of 640 x 432 (or 720 x 432 rather, to be exported as the former). The media is 720 x 480, so I need to "pillar" it, which I am trying to do by nesting my sequence. The difficulty is that once I nest and render it, I get all these distorted wavy lines. Can you help? The footage was originally shot on 24P, but captured DV/NTSC drop frame 29.97. The nesting sequence is the same as the original sequence in every detail except for the height difference.
 
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