Hey Daniel,
It uses the Mutable Instruments Peaks algorithms, where you can switch between different audio and CV algorithms. This is the reason why you get scratchy noises at the output when you select a CV mode.
If you don't get the output you want (kick drum or FM drum), just keep pressing the button until you hear a drum sound (assuming external triggers are connected). Then press the button for one second to switch between kick drum and FM drum modes.
I have to admit that it's a strange way to have the other algos there. But firstly, I'm not good enough at programming to remove them, and secondly, I sometimes enjoy using the CV modes, especially in small cases where HP is scarce. It's fun to modulate the analogue drum from the first "voice" (with a CV algo loaded).
You can find out which CV algos are available in the MI Peaks manual. The D.Mode button works in the same way as the function buttons in this manual.
Hope this helps.
Thanks,
Stefan