I have this problem too... registry setting is correct.
I ran a few tests...
1) tried to get EventGhost to start it but problems there too. Starting MC with EG gives me the error
2) sometimes when xpTunes loads I get the error.
I have verified that if I run, from command line or start menu, mc14.exe /Power it start perfectly fine, no error - tried it 10 times.
any ideas?