Don't touch the win.ini for now.
Two suggestions:
1) Open sounddiver and select the POD. Look at which midi port it is connected to. Do you have more than one port? If not you need to proceed to 2). If you see more than one midi port, try selecting the other port. Does that make a difference? If not proceed to 2).
2) Sounds to me like you should reinstall your sound card.
First remove the drivers. Then remove any software that came with the soundcard. Power down the PC. Remove the sound card. Power up the computer and then take a look at the win.ini.
This all assumes you have plug and play.
Are the Soundfusion drivers still there?
If not, good. That's a start. Then you need to figure out how to remove the other drivers before you reinstall the soundcard.
Let me know how it goes.
-Nemal