Distorted sanna arises in the “hadaya vatthu” (or seat of the mind, where citta arises) of all sentient beings.
Hadaya vatthu and the pasada rupa (in each bhava) is created due to the kammic energies generated in the past.
Kammic energies were generated in the past lives due to the set of gathi present at that time.
Hence, our own defiled gathi is responsible for the arising of the “distorted sanna”.
If we don’t remove our defiled gathi, we would continue to generate kammic energies, creating hadaya vatthu (and hence distorted sanna) for the future, thereby perpetuating suffering filled Sansaric journey.
Removing all kinds of gathi is what is done in the Sathipatthana/Anapana Sati bhavana.
When one reaches Arahant stage, all kinds of gathi are removed, hence the possibility of any future lives is eliminated. Although all gathi are removed but still distorted sanna arises in an Arahant because the old hadaya vatthu is still present. But since an Arahant has optimum panna (wisdom), he/she does not get deceived by the distorted sanna anymore, hence CAN NOT generate any kammic energy, since avijja is completely removed. In other words, an Arahant has “yathabhuta nana”.