Creative SB sound card - LineIn / MicIn issue

[patkim]

I have recently purchased Creative SB Audigy value sound card. The sound out quality is quite good, there’s one issue which is kind of bothering me!
Any line out device (TV tuner line out, MP3 player line out etc) is not recognized as line-in source at the shared common line/mic port.
Device Settings in Volume / Mixer properties
Line – Unmute
Mic/SPDIF/Auxillary – Mute and Recording device- Line

With this setting I expect the card to treat Input as Line-In by default. However there's no sound. Now I need to unmute Mic (which sets the Input port as Mic and gives a sharp loud sound, as expected). Then I unmute Line and it works just fine and gives a crisp sound out. Always choosing mic works fine, but not desired as I don’t wish to give Line out as Mic signals. I am unable to understand why the card is not interpreting Line despite the correct device selection. Everything works fine only after I first choose Mic and then switch to Line.

Is anyone using Creative SB cards and faced similar issues?

I have continued my RnD here and one more observation..
The Line-In after being set as Recording device is recognized again successfully after I restart the PC but not after shutdown and restart.