Does anyone know what is wrong?
It's possible you have some electrolytic caps installed the wrong way around.
To some extent, the fact two areas of the circuit are misbehaving confirms this.
Another possibility is shorts on the PCB or soldering.
FWIW, you might want to dig through some of the forum archives for posts by Electric Warrior.
There were some errors on the some of the Colorsound schematics and those errors
were transferred to some of the older layouts.