Electronic – Dual Op Amp should be saturating but it is instead tracking the negative pin input

Yes, in any case where there is feedback that touches the input (many cases such as inverting amplifiers, Sallen-Key filters and so on) and the source impedance is greater than zero (all real cases), you will have some effect if the output saturates.

The simplest example is probably an inverting amplifier- say you have a gain of -1 with two 5K resistors, and a source impedance of 100 ohms.

When the amplifier is not saturated the input "looks" like a 5K resistor to ground, so the voltage from the source (taking the internal resistance into account) is simply 5000/5100 times the unloaded output voltage. So it's attenuated by ~2% but no distortion if the amplifier output is following exactly. Now if amplifier saturates, it appears as a 10K resistor to the saturated output voltage, so the slope of the output increases a bit (to ~1% attenuation) and you have a point of inflection and some distortion.

^{simulate this circuit – Schematic created using CircuitLab}

For your answer, you have to go back to basic op-amp theory.

When you provide negative feedback to an op-amp, you make the negative input track the positive input as closely as possible.

Now tie the positive input to ground. The op-amp feedback is going to try to keep the negative input at that same potential: ground. Thus the name: Virtual Ground.

Note that when you inject current into that (-) node, the op-amp's output drives the feedback resistor to keep the (-) input at ground. This property is used to create a summing amplifier, where multiple currents can be summed into that node to create a voltage output that represents the sum of those currents. This configuration is called a "Virtual Earth Summing Amplifier".

Most analog audio mixing consoles use virtual-earth summing amplifiers for their mix busses.

Finally, note that it DOESN'T have to be the the (+) input grounded and (-) input as the virtual ground. If your op-amp has an inverting stage after its output, you could quite easily take your feedback from the output of that inverting stage rather than from the output of the op-amp. In this case, the (+) & (-) inputs swap: the (-) input is grounded and the (+) input is the virtual ground.

Do note that you have to take into account the phase margins of both stages when you cascade stages in that manner.