Getting a crash when I click the TESTING button 100% of the time, doesnt matter if its sandbox or scenarios, full screen or windowed. I am able to build an engine from scratch, but the second i click to Test the engine i get this

This is on my Windows XP machine, havent had this issue with my Windows 7 Laptop (or any other issues for that matter)
System info:
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System Information
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Time of this report: 4/10/2012, 12:08:41
Machine name: KRUSS
Operating System: Windows XP Professional (5.1, Build 2600) Service Pack 3 (2600.xpsp_sp3_gdr.101209-1647)
Language: English (Regional Setting: English)
System Manufacturer: System manufacturer
System Model: P5Q3 DELUXE
BIOS: BIOS Date: 07/25/08 18:33:53 Ver: 08.00.14
Processor: Intel(R) Core(TM)2 Quad CPU Q9550 @ 2.83GHz (4 CPUs)
Memory: 3326MB RAM
Page File: 1725MB used, 3483MB available
Windows Dir: C:\windows
DirectX Version: DirectX 9.0c (4.09.0000.0904)
DX Setup Parameters: Not found
DxDiag Version: 5.03.2600.5512 32bit Unicode
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Display Devices
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Card name: NVIDIA GeForce GTX 260
Manufacturer: NVIDIA
Chip type: GeForce GTX 260
DAC type: Integrated RAMDAC
Device Key: Enum\PCI\VEN_10DE&DEV_05E2&SUBSYS_34C81458&REV_A1
Display Memory: 896.0 MB
Current Mode: 1920 x 1080 (32 bit) (60Hz)
Monitor: Default Monitor
Monitor Max Res:
Driver Name: nv4_disp.dll
Driver Version: 6.14.0012.8558 (English)
DDI Version: 9 (or higher)
Driver Attributes: Final Retail
Driver Date/Size: 10/8/2011 14:50:00, 4226688 bytes
WHQL Logo'd: Yes
WHQL Date Stamp: n/a
VDD: n/a
Mini VDD: nv4_mini.sys
Mini VDD Date: 10/8/2011 14:50:00, 12791488 bytes
Device Identifier: {D7B71E3E-46A2-11CF-8656-C41400C2CB35}
Vendor ID: 0x10DE
Device ID: 0x05E2
SubSys ID: 0x34C81458
Revision ID: 0x00A1
Revision ID: 0x00A1
Video Accel: ModeMPEG2_C ModeMPEG2_D
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Sound Devices
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Description: SoundMAX HD Audio
Default Sound Playback: Yes
Default Voice Playback: Yes
Hardware ID: HDAUDIO\FUNC_01&VEN_11D4&DEV_989B&SUBSYS_10438311&REV_1003
Manufacturer ID: 65535
Product ID: 65535
Type: WDM
Driver Name: ADIHdAud.sys
Driver Version: 5.10.0001.6480 (English)
Driver Attributes: Final Retail
WHQL Logo'd: Yes
Date and Size: 3/24/2008 11:08:14, 331264 bytes
Other Files:
Driver Provider: AnalogDevices
HW Accel Level: Full
Cap Flags: 0xF5F
Min/Max Sample Rate: 100, 192000
Static/Strm HW Mix Bufs: 33, 32
Static/Strm HW 3D Bufs: 33, 32
HW Memory: 0
Voice Management: Yes
EAX(tm) 2.0 Listen/Src: Yes, Yes
I3DL2(tm) Listen/Src: Yes, Yes
Sensaura(tm) ZoomFX(tm): Yes
Registry: OK
Sound Test Result: Not run
Description: HD Audio digital out 2
Default Sound Playback: No
Default Voice Playback: No
Hardware ID: HDAUDIO\FUNC_01&VEN_11D4&DEV_989B&SUBSYS_10438311&REV_1003
Manufacturer ID: 65535
Product ID: 65535
Type: WDM
Driver Name: ADIHdAud.sys
Driver Version: 5.10.0001.6480 (English)
Driver Attributes: Final Retail
WHQL Logo'd: Yes
Date and Size: 3/24/2008 11:08:14, 331264 bytes
Other Files:
Driver Provider: AnalogDevices
HW Accel Level: Full
Cap Flags: 0xB5B
Min/Max Sample Rate: 44100, 192000
Static/Strm HW Mix Bufs: 1, 0
Static/Strm HW 3D Bufs: 0, 0
HW Memory: 0
Voice Management: No
EAX(tm) 2.0 Listen/Src: No, No
I3DL2(tm) Listen/Src: No, No
Sensaura(tm) ZoomFX(tm): No
Registry: OK
Sound Test Result: Not run
---------------------
Sound Capture Devices
---------------------
Description: SoundMAX HD Audio
Default Sound Capture: Yes
Default Voice Capture: Yes
Driver Name: ADIHdAud.sys
Driver Version: 5.10.0001.6480 (English)
Driver Attributes: Final Retail
Date and Size: 3/24/2008 11:08:14, 331264 bytes
Cap Flags: 0x41
Format Flags: 0xCCC
Description: Logitech Mic (Pro 9000)
Default Sound Capture: No
Default Voice Capture: No
Driver Name: usbaudio.sys
Driver Version: 5.01.2600.5512 (English)
Driver Attributes: Final Retail
Date and Size: 4/14/2008 00:15:14, 60032 bytes
Cap Flags: 0x41
Format Flags: 0x0
-----------
DirectMusic
-----------
DLS Path: C:\windows\SYSTEM32\drivers\GM.DLS
DLS Version: 1.00.0016.0002
Acceleration: n/a
Ports: Microsoft Synthesizer, Software (Not Kernel Mode), Output, DLS, Internal, Default Port
Microsoft MIDI Mapper [Emulated], Hardware (Not Kernel Mode), Output, No DLS, Internal
Microsoft GS Wavetable SW Synth [Emulated], Hardware (Not Kernel Mode), Output, No DLS, Internal
Registry: OK
Test Result: Not run