Very weird CAMERA PROBLEM with Samsung D900

Ok so I got a new phone off ebay. It came with pictures on it that the guy had forgotten to delete.

Perfect quality pictures, really good.

But when I try to use the camera, it looks like this:

(Can't post links)

Basically, looks like one of the heat cameras you get. It's very odd.

Weird.

All settings are auto, I tried editing ISO levels etc, but it doesn't make any difference.

My first thought when I saw the picture was "high iso"... but that isn't the problem. At 100ISO it's just as bad as Auto.

Is it possible something could have affected it in transit?

If so, what?

Magnets or something?

Is there any way I can (cheaply) get just the camera replaced if I can't fix it?

Any help would be appreciated.

Cheers, Cameron