This appears to be a problem with later versions of SQL Mail (SP2, SP3). Try reverting to the SP1 release of sqlmap70.dll. This might solve the problem.
If the integral CDROM drive is configured as a slave drive in this machine, it will not be able to boot from a CD. It must be the master drive in order to boot.
If attempting to run an ASP.NET application from a web server which is also a domain controller you may encounter an 'Access Denied' error message, when the application uses indentity impersonation...