I havn't managed to get it working yet myself it appears in the log files that it's asking the D3D for a list of modes (even tho this is already picked) and as you might notice there are about 8 entries for each mode in the setup proggy list, ie. faulty calling of modes.
I'd say that the problem is a buggy DX7.dll file. it probably works fine in win98 (havn't tried)
if you are having trouble getting it to go at all (should at least allow you into the game but not gameplay only the menu's)
then you should delete all the cfg files in the config directory and also any .BDF files in the drivers directory. then it will find your video card.
i'm using a TNT2 btw. i'd say Glide might work.
