With a similar configuration (Dell P3-600, Win 98SE) and with the same encoding options set, I was also getting a winoldap error earlier today ripping from my main CD drive (a Samsung SC-140B). The system would crash and hang. I ran Dell system diagnostics on the drive and it checked out OK.
I also had been getting other kinds of errors during ripping (different CD's, different MP3 encoding options set) that would cause individual tracks to fail (one of the errors was something like "track has changed place"). There didn't seem to be much consistency to the errors, and since I don't do a lot of ripping, I didn't save the error data or investigate too much.
There was no problem with the one CD I ripped from my Plextor CD-RW.
Here's my current system info:
Media Jukebox PLUS 8.0.293
Install Path: C:\Program Files\Media Jukebox\
CPU: Intel Pentium III 598 MHz MMX
Memory: Total - 392 MB, Free - 239 MB
Resource Info: System - 59 %, GDI - 76 %, User - 59 %
OS: Microsoft Windows 98 SE
Internet Explorer: 5.50.4807.2300
ComCtl32.dll: 5.50.4807.2300
Shlwapi.dll: 5.50.4807.2300
Shell32.dll: 4.72.3612.1700
wnaspi32.dll: 2, 0, 0, 0 , ASPI for WIN32 DLL, Copyright © Adaptec 1995
Aspi32.sys: N/A