zesla,
Anyways back to fixing the problem, does the sound actually go in and out when your touching/moving the pot? If so the pot could just be dirty inside and need a bit of a clean up. If not, then something is being over-driven, or there is a leaky capacitor that is partially shorted, so allowing DC to flow along with the AC signal, making the sound distorted. The signal capacitors are supposed to only let the AC music sine wave pass, not dc from the amplifying circuits. If its a leaky capacitor its most likely a dried out electrolytic.
-Ben