The same thing happens on my laptop with SH4 (I tried it out on there just out of curiousity).
I think you'll find that it's the fact your laptop graphics (and mine) don't support pixel shader 2.0 that is the problem, which is a bummer, as there is not much you can do about that. So I guess you're stuck with the choice of either getting a laptop that does support 2.0 pixel shader graphics, or using SH4 on a desktop that supports it, which is what I do.
You'll probably find that SH3 with the Grey Wolves add-on mod will run fine on your laptop, as will Dangerous Waters, so if you are desperate for some sub action on your laptop, try those.
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