After making an iso with nlite v1.4.8 I get that annoying driver signing warnings even for drivers that are installed automatically at first boot and later for all drivers installed by me, signed and unsigned.

I didn't added any drivers to my iso, just used some tweaks, few components removal and I added some KB updates to MSDN VL XP Pro N SP3 iso.

I also noticed that nlite adds following lines to HIVEDEF.inf and HIVESFT.inf

HKCU,"SOFTWARE\Policies\Microsoft\Windows NT\Driver Signing","BehaviorOnFailedVerify",0x00010001,0
HKLM,"SOFTWARE\Microsoft\Driver Signing","Policy",0x00000001,0

and when i go to control panel -> System -> Hardware -> Driver Signing it's really set to Ignore but with no effect at all

I also used DriverSigning.exe from http://www.boot-land.net/forums/?showtopic=3095&st=60 and still no luck.

Please anyone can help??

did you tick to 'remove cat files' and used ryanvm hotfix pack?

I also used DriverSigning.exe from http://www.boot-land.net/forums/?showtopic=3095&st=60 and still no luck.

That is currently the best possible solution for completely overcoming driver signing issues, other methods only try to hide this matter under the carpet but don't really understand how and why it happens let alone imagine how to "fix" things up.

The only drawback is the fact that this tool was designed to work under Windows PE environments in projects like LiveXP (read-only XP from CD) and when you install XP to disk you're using the default settings from XP setup.

I personally recommend posting a request on the above link you've mentioned so that Peter (PSC) can introduce support for "normal" windows XP if possible or teach you what needs to be done to get it working right.

Last_Session.ini

did you tick to 'remove cat files' and used ryanvm hotfix pack?

didn't used ryanvm hotfix pack

Maybe it has to do something with "N" version of XP Pro, because I figure it out that pop-ups shows for:

Audio Codecs

Legacy Audio Drivers

Media Control Devices

Legacy Video Capture Devices

Video Codecs