At LAST I've found the bug(?) which daemon tools didn't seem to recognize
(sorry for my approach

Well, these are my instructions on dealing with the error:
1. First, I BACKED-UP my registry by going to c:\windows,
typed attrib -r -h -s system.dat
attrib -r -h -s user.dat
copy system.dat system.lit
copy user.dat user.lit
*** files with ".lit" extension names are my back-up copy***
attrib +r +h +s system.dat
attrib +r +h +s user.dat
2. I executed registry editor, search for the string "stealth" and
deleted entries which I think low-version daemon-tools
have wrote on the registry such as STLTH, STL323, STL and
points to a Generic Stealth CD/DVD drive.
3. I deleted the file "st324kj.mpd" from c:\windows\system\iosubsys directory and the file "c:\windows\system\st324bus.vxd"
4. After deletion of files, I restarted my computer and IT DID STARTS VERY NEATLY!!!
5. I installed the daemon 3.26 version and VOILA! it is GOING WELL
AGAIN!
BEFORE YOU TRY THIS PROCEDURE, PLEASE HAVE YOURSELF READY FOR YOUR WINDOWS INSTALLATION AND BACK-UP YOUR FILES!!!
EVEN IF MY SYSTEM WORKS AFTER THE SAID PROCEDURE, I DON'T KNOW IF IT WILL WORK FOR YOU TOO. I WROTE THIS BECAUSE I ONLY WANT TO INFORM EVERYBODY OF HOW THE PREVIOUS VERSIONS OF DAEMON TOOLS GAVE REGISTRY A HUGE TRASH OF ENTRIES SPECIALLY WHEN YOU ARE GOING TO MOUNT 2-3 VIRTUAL DRIVES.
TO VENOM386, PLEASE MAKE A TOOL FOR CLEANING THE REGISTRY WIPING THE OLD AND NO-USE ENTRIES CREATED BY PREVIOUS VERSIONS OF DAEMON-TOOLS.
MORE POWER TO YOU DAEMON-TOOLS! YOU ARE REALLY OF GREAT HELP FOR US!!!
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