Using it "standard" way is probably the best way to use it without big effort. Does it work for you? I mean:
http://www.harmonycentral.com/articles/how-to-use-mackie-compatible-controllers-with-daws To setup "ACT Dynamic Mapping" in addition, there are several tricks. In general you should match what the controller is sending to what Sonar plug-in ("ACT MIDI" or "Generic Surface") are expecting.
The simplest way here - put graphite into "Performance" mode. Faders/knobs are in "7bit CC" mode then, which is default for "MIDI Learn" withing VSTi, "Remote control", "ACT MIDI" and "Generic Surface". No of these methods have any feedback, so the values will "jump". But you can adjust the options "Capture mode" in "ACT MIDI" preferences (to Match).
If you create your own preset, start with simple 7bit CC as well. If you want endless encoders to work as such, configure "Generic Surface" to understand that. "ACT Midi" understand a subset of possible endless transfers as well, but it also should be adjusted manually for that (Ctrl+Click on control to see the dialog). Read Sonar Reference Manual (chapters 20 and 40) for explanation.
I am not sure why all your knobs control the same parameter... One of possible cases: they are in (N)RPN mode (RPN is transferred using normal CC, so without future adjustment, single RPN is interpreted as 3/4 separate, always the same, CC messages).
I will also mention my own "secret weapon", the link in my signature. It support bi-directional communication, any type of messages, "instant change" mode for not motorized faders and any other allowed by Sonar (or available with some tricks, f.e. arbitrary key sequences) operations. But if you do not plan to spend next month(s) to create perfect (for you) configuration, do not look there
Well, in case you are going to use "ACT Dynamic mapping" for VST, even with standard plug-ins, you will probably need my "AZ ACT Fix" utility...