FIXED:
Missed the Installation Sticky. This fixed my issue!
Jesus Stance Bug
If everything is installed properly, but you are still getting the "Jesus Stance" animation, copy the file z_MB_BaseAssets.pk3 from your MBII folder into the base folder.
I installed the latest v1.3.1 version from ModDB and put it in my GameData folder in the Steam directory. Added the launch parameter and I can direct connect to online sessions without any problems. However, the animations in every match are strange. Arms are held out straight, characters lay...