Video from stored files appearing pixelated

Since most of the games that I used to install ran too slowly, I tried using Gamebooster 2.2 for optimizing performance while gaming.

After the 1st try, when I switched back to normal mode (from gaming mode), all my video files are appearing in- what I think is- low resolution. The BR rips especially are appearing too thatched/pixelated and also a little burnt. I have attached a few images to help visualize what's happening.

I tried restarting the system, changing the monitor settings and reinstalling the graphic drivers. Nothing worked. What could be the issue? I suspect the gamebooster software to be the culprit as this started only after I ran the s/w but I cannot find anything that has been tweaked.

Please help
Any inputs will be appreciated

my system specs are:

Intel dual core @ 1.60GHz desktop
NVIDIA GeForce 7100 GS 512 MB graphics card
1+1 gb ddr2 sdram
Microsoft Windows XP professional SE
Seagate 160 gb SATA hd

P.S.:- All other graphics are perfectly alright. Even the youtube videos run perfectly.
 

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