Monitoring/Recording volume inconsistency with SONAR + Echo Layla 3G

I have an Echo Layla 3G IO interface, which i use with SONAR 8.5 and X1.
My problem is this: When I record an instrument (either through the S/PDIF input or a pair of the analog inputs) I hear a very strong/loud signal. However, in SONAR, it appears to record (and subsequently play back) at a much lower volume. 

This is probably a hardware monitoring problem rather than a SONAR problem, but if any of you good people happen to have experience with Echo IO hardware and have encountered this "issue", then please advise me if you can. 

Is there some setting I need to tweak, either in SONAR or in the ECHO console application? 

Thanks in advance.