If you ever played REZ in the console, you know the background is complete framebuffer self-feedback effects. That aside, the game seems to be working perfectly (all polygons seems to be in the right places).
And *all* of you people should think a bit before bitching and realize that framebuffer effects *ARE* a major PITA to emulate properly, in ANY console, and ususally are partially implemented way late into an emulator's life.
It took ages for PSX and N64 emulators to provide proper framebuffer FX emulation. VGS was the first PSX emu to sport near perfect graphics, because it used a software renderer, that allows way more freedom than OGL/D3D. N64 emulators have framebuffer problems even today: it's often disabled by default in GFX plugins, and often slows performance to a crawl when turned on.
Only recently, with the advent of pixel shaders and more flexible video cards, emulating framebuffer effects in the GPU has become more feasible (see Pete's OGL 2.0 PSX GPU plugin as example).
So don't expect this to be fixed anytime soon. It might even turn out to be easier to implement than I think, but such kind of stuff usually takes a while, or ends up being a slow feature. The same goes for Z-sorting problems, since the Dreamcast GPU was capable of certain things in hardware that current video cards can't do natively (sorting semi-transparent pixels and drawing them in the right order). It *might* be possible with the lastest pixel shaders, but I'm unsure.