Mesh deformation

Hi,

I am working on getting a humanoid model connected to coordinates I am getting from a Kinect.

I have a 3ds max mesh ( no CAT / no bipad ) with simple bones in them. When I position the bones to the coordinates I am getting strange deformations.

Can someone see what is going on?

The lower arms are completely flat, and the depth they seems to have are created by the perspective of the camera.

Before:

After: