When asked to turn on, it flips the regular cameras picture upside down.
Could be a bad front facing camera some times HTC phones will do a flipped shot of the rear camera when the front facing one is bad. Had a couple EVO 4Gs that did this same thing replaced the front camera and worked perfectly. The replacement front camera is relatively cheap and installation is half way easy if you have some electronics experiance.
SOURCE: My HTC EVO 3d front
Once you open camera , go to settings within camera > and there is an option to do overlap .
Also install mirror app from the market . check whether the camera is showing up correctly there ..
Do a factory reset if the above doesnt work .
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