Reference Extents are printing when they shouldnt

I have an issue that I cant seem to fix no matter what I try and google.

I have a Paper/Sheet Space with the current file referenced - and when I clip the reference  the clipping extents then become printable. 

Below is if the reference is turned on.

Below is if the reference is turned off.

As you can see the dotted line is the clipping line - no matter what I try I can seem to get rid of it - I am worried that the previous user has modified the configurations with microstation to always plot this - but I dont know where to look. He has since left the company and I am on my own with this.

Any help would be great.

thanks

John

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