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The TV not being recognized is a cabling issue. And the TV needs to be On before you power the computer system, so the ATi card BIOS can detect the connection type.
Then, b/w display is User Error, not driver problem (as usual ... but driver bashing is soooo popular and much easier than figuring stuff out, isn't it?). You're either running the wrong TV norm, or your cabling pretends to be SVideo but isn't. The latter problem is frequently seen in SVideo-to-SCART setups.
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