Display lines / flicker

[willem]

I have a Kensington Universal Multi-Display Adapter (K33928US) with DisplayLink and have display issues regardless of which monitor is installed (see image). All displays work fine as the primary display, but not as the USB display. Here are the system details:

DisplayLink 6.3
Windows 7 Home Premium
Intel i7 920
9Gb RAM
ATI Radeon HD 4650
2 24" Dell Ultrasharp monitors

I went through the "HOWTO: Debugging issues on Windows with DisplayLink" post and everything is set up correctly.

I switched to the Win7 Aero style with no improvement. The problems are worst with black and dark gray areas of windows, not noticable on white backgrounds. Switching cables and from HDMI to the RGB adapter had no effect.