I tested God Eater 1 demo as well. Same results as with 2. May consider it an option to reproduce as well as it is smaller in size (140 MB vs 516MB). For God Eater 1 may consider pressing CROSS (z on keyboard) to dismiss the working cutscene as it is REALLY long.
I think almost any commercial game or demo running on PPSSPP is affected by this problem. Homebrews are usually unaffected as they don't make use of advanced graphics features.
Download link: http://www.pspdemocenter.com/page.php?id=2887
I also tested for this problem a Dell Vostro 2521-9566 notebook having Intel Core I3-2375M and Intel HD Graphics 3000 and couldn't reproduce.
I could reproduce this problem on my desktop since dual source alpha blending usage was added to PPSSPP. The drivers releases that followed that event 15.33.22.64.3621 and 15.33.29.64.3945 made no difference.