Have not checked this thread in a while but wanted to see if there were any updates.
@c0d3h4x0r: in win7 x64 with the sb audigy, I def had the crazy sound issue. Using my onboard (gigabyte mobo) sound card fixed the issue. However I still had pretty bad input lag. A much older version of nestopia made this go away. If someone would like me to post, id me happy to.