Odd River behaviour on height mapped terrain

So I’ve been having difficulty getting Rivers to work on landscapes that are formed from heighmaps. Finally I get it working, but I still have an issue with the river being wider than the splines (regardless of the Water - River Width or the Falloff width) and causing a waterfall effect either falling off the sides of the river when the splines are above the land mesh or the river being sunk into the landscape and waterfalls falling into the river on all sides.

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Has there been any update on this issue? We have same problem.