Disassemble the gas system and clean the little holes in the gas adjustment screw. The scribed lines on the gas adjustment screw need to be lined up perfectly or the small holes in the gas ports won't flow enough gas. The SVT-40 should operate with the 1.3 gas setting. Both of my svt-40's operated perfectly on the 1.3 gas setting. On the 1.7 setting the bolt carrier would slam the rear of the receiver like getting hit with a baseball bat in the shoulder. When you said yours is on the 1.7 setting something is wrong with your gas flow. Bill
BTW; My refurb svt-40 has all new parts in the gas system. I figure that most of them do if there cleaned properly. My refurb was still unshot do to the scribed lines on the gas valve not lined up exactly. It didn't cycle. There is no wear on the bolt face from the bullet cases(brass) so it was never operated in semi auto. I got a brand new unfired refurb.
I use moly in all my guns as a lube. Most of the semi auto's require a gun grease anyway.