I own one of these also, and I can assure you mine does not do the same. It should most definitely NOT suck air in through the hexagonal mesh and blow it out inside the case.
It makes no sense to blow hot power supply air on the CPU heatsink. The air should be sucked in by the big 12 cm fan on the square base of the PSU and be blown onto the aluminium heatsinks inside. The air then should make its way out of the back through the hexagonal mesh. If your HW 520 is not doing this, then the fan is on the wrong way around.
As further proof, see this page:
http://www.silentpcreview.com/article692-page2.html
A direct quote from this is: