Hi currently when you have no gpu enabled so mercury software only the image stretches in After Effects...
When you apply lumetri color to an layer
Video example here
Even with all of the Lumetri color effects disabled it still distorts it.
Its a jpg picture in a 1920x1080 AE comp. With 46% scale since the image is 4k by 6k.
A way to fix this is to enable the gpu, but this is an half solution and doesnt fix the problem.
M1 Max, 64GB, AE 23.2.1 build 3