Yaw, Auto-Roll - Confusion

Hello,

I'm at my wits end so I need someones help. I am trying to create my own SpaceVehicle based on the FlyingVehicle. Right now, its a basic copy with the gravity calculations removed.

The problem I am having is the torque does not act as I think it should. If I apply a stright yaw thrust, it turns towards the target vector but it wanders all over the place.

Now as an experiment, I commented out the Auto-Roll code, and surprise surprise, it works as expected, but unfortunetly I have no banking of the ship as it turns.

So after looking at the code some more, I see that when doing a yaw turn, with the roll enabled, the ship starts to nose dive, thus realy messing things up and making it wander.

When I look at the code, I can see what its doing. But I do not understand why (Physics is not a strong point)

// Pitch
   torque -= xv * steering.y * mDataBlock->steeringForce;

   // Yaw
   torque -= zv * steering.x * mDataBlock->steeringForce;

   // Auto Roll  (Should roll along ships axis, but its not doing it properly)
   torque += yv * steering.x * mDataBlock->steeringRollForce;
   F32 ar = mDataBlock->autoAngularForce * mDot(xv,Point3F(0,0,1));
   ar -= mDataBlock->rollForce * mDot(xv, mRigid.linVelocity);
   torque += yv * ar;

In the end, I am trying to mimic the same type of movement you see in games like Eve-Online and Freelancer.

Can someone please shed some light on this for me, or show me examples of what they did?

Thank you