interfacing arduino micro with custom sd breakout

hello,
im trying to mimic the schematic of the teensy sd adaptor
https://www.pjrc.com/teensy/sd_adaptor.html

i made some home made pcbs, purchased components and assembled them, but something is very wrong. It seems i actually blew a few bare bones arduinos (atmega32u4) with the setup. if i hook it up to a real arduino, it does not blow the board however the sd card fails to initialize. i believe the bare bones arduino is set up correct. i can upload and run any code as many times. but as soon as i connect it to my sd setup the chip stops responding and reset button is always high (sometimes after a few attempts though?) would also like to know if anyone has any way to rescue or reset these chips

parts used :
3.3v regulator: http://www.newark.com/webapp/wcs/sto...&storeId=10194
2x 1uf capacitors
sd card housing
logic convertor (same used on teensy sd adaptor) : http://www.farnell.com/datasheets/1885862.pdf

to explain the connections:

  • 5v on arduino -> 1uf CAP (connected to GND) -> Vin on 3.3v regulator

  • GND on arduino -> 1uf CAP (connected to GND) -> GND tab on regulator

-all OE pins on logic convertor(LC) to GND (i feel this is where a problem could be. i see this is how it is in the schematic though)

  • MOSI arduino -> input LC1
  • output LC1 -> DI sd
  • pin 10 arduino -> input LC2
  • ouput LC2 -> CS sd
  • SCK arduino -> input LC3
  • output LC3 -> SCK sd
  • MISO arduino -> DO sd
  • tried connecting the remaining LC input 4 to output 4, but i did not do OE also as shown in schematic as i didnt notice until after the board,could this be the issue? it also does not work when those 2 pins are not connected

i have some difference in pinouts for the LC, but i dont think that should make a difference?
Also the schematic shows a pullup resistor for MISO. I've read that arduino can read the SD's DO without a pullup, but i also have tried with a 10k pullup resistor.
Also have tried using INPUT_PULLUP to enable the atmegas built in pullup resistors, but no luck

thanks in advanced!