Hmmmm, when the chain sprocket dots are lined up, the TDC mark on the damper should NOT be lined up with 0 on the timing scale; it will be about 10 to 15 degrees retarded. So if the damper was lined up at 0 with the dots perfectly aligned, then the damper is off. I really encourage you to carefully check the damper versus true TDC; based on the info provided, it appears to be a significant problem.