smoke when auger control isn't fully depressed

has anyone ever heard of a yard machine snow blower smoking when not fully squeezing the auger control? a buddy of mine says that i'm burning up some rubber disc or something when not fully squeezing it and it does smell bad but not positive it smells like rubber.

this is a brand new 24" just out of the crate snowblower and no, i haven't over filled the oil either.

thank you

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