Nlite crashes at start

[dstarfire]

I get this wierd error message every time I try to start the latest nlite (1.3.04). I've tried it with both the lite runtimes, and the full .net 2.0 framework (followed link from download page). I'd use the 1.2 version, but I really want to include some of the addon packages

I'm running XP SP1, with several tweaks and customizations I've discovered here and there, nothing major, though.

Anybody seen this before, or have any idea what it means and how to fix it?