So Neal, did you ever get this working?
I have an installed copy of CAOD on a C: drive image from an o-l-d Win98 machine, where it worked (well, it did when I last ran that machine about 15 years ago). This image is on the drive of my current Win 7 machine. I have set up the Compatibility settings of the Properties set to Win 95 and 256 colors as have been previously advised here, and this gets me past the common audio issue, but I then get the error dialog that you showed in your original post.
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