Morgan mjpeg to DiVX

[funkydmunky]

I capture using my old but trusty Rainbow Runner-S using the Morgan mjpeg codec. Looks great as always now I thought I would do a simple conversion to Divx. Movie renders fine but has horrible blocky blotching and dithering in the dark areas. I have ripped dvd's and compressed with divx befor so I'm not a total newb. I have tried Divx 5 single and 2 pass as well as 3.11 to see if it was just 5, but both acted the same. I have tweaked the setting of divx to produce high quality and given a high bit rate to avoid that being the problem but always the same. I'm using Virtual dub and also tried premiere to see if it made a diff, but no. If anyone knows of a solution I sure would appreciate it.
Thanks Ken

[funkydmunky]

Well if I use the Divx player it works fine. I have always used the WMP 7.2? and never had a problem untill now. Well if anyone knows how to make it work in WMP no prob drop a note, otherwise sorry for any time wasted.
cheers ken