Premiere does not see the widescreen flag of mod files. Assuming its filmed in widescreen.
First correct the PAR in the Interprete Footage.
Select all files in Project Window, right click > Modify > Interprete footage and set the pixel aspect ratio to dv widescreen.
Then drop it in the timeline.
I think your setup is a 4;3 sequence and probaly scale to fit frame size checked?
You cannot use Create sequence from clip
You will have to choose a dv widescreen sequence from the presets.
Can you upload a clip?
I did create the sequence with 4:3 settings, but trying this with a new sequence (in a new project) didn't change anything. It still looked the same.
You can see a clip here:
I see what you mean. Very odd, never seen this before.
I tried it in CC and Elements 11 and in both programms the clip got cut off on import.
Could not get it to work.
Do you have CS6?
Because CS6 does not have a problem with the clip it treats is a full widescreen clip.
File a bugreport.
In the meantime use this program to convert.
See if that will help
Actually I do have CS6, but oddly when I tried to use it now it doesn't play these files ("The importer reported a generic error."). Do you know why it's like that?
And that software is all in French so it's pretty difficult to use.