The short story is I bought a slim phatty and it doesn't modulate/moog-ify any sound going into it - with the setup I have matched in the quote box below
I recently bought a Moog Slim Phatty [SP], which is my first hardware synth - and I was planning on using the USB interface from the SP along with a simple Alesis Q49 USB keyboard. The idea was to not buy extra midi modules and cables, but instead just use USB, and setup Live to route the tracks to and from the SP properly.
I was under the impression that I could send audio from a VST like Kontakt or Reaktor [or just a simple recorded audio track], route that audio to the SP for extra awesomeness, and then back to the master channel so I could actually hear it.
I am pretty frustrated, very confused, and super clueless at this point as to how to get this thing set up properly so I can start making some more cool stuff. Any insight on this matter would be extremely helpful!

I have followed a previous user's post for a completely USB driven setup, but with no success::
Currently I have the SP set to Track - on, Sync - on, and Remote - off
open a audio track it name it Phatty Audio
open a midi track with the External Instrument on,
set the drop down box to MIDI TO as USB Audio Device (this is my slim phatty yours might be named different) and the next drop down box to ch1
on the midi track the MIDI FROM I left as All ins & All channels
Set Monitor to to Auto
Set Audio to to Phatty Audio (this is the audio track u named before)
On the audio track next set Audio From to Ext. in & 3 (3 is the channel i have the slim phatty audio going in my focusrite pro 24 (sound card) make the channel that the slim is on in your Sound card it muted so you dont get fedback
Set Monitor to In
Set Audio To to Master
I have to set the Track Delay to -35 ms on the Audio TrAck