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You may have done that step already but before you start looking at memory bandwidth issues you should probably try whether the following is working to rule out issues with the CVO:
TPG@1600x1200 -> CVO
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Yes, I've tried this, in the following video configuration:
CVI -> SCALER -> FRAMEBUFFER -> CVO
along with following configurations using the above path:
1280x1024 Scaled to 1600x1200: Working.
1024x768 Scaled to 1600x1200: Working.
800x600 Scaled to 1600x1200: Broken!
I think the CVO is ok as I've managed to push pretty much every resolution through without issue.
Thanks,
Mike