Windows 7 Setup BSOD BAD_SYSTEM_CONFIG_INFO

I am trying to install Windows 7 32bit on a rather old HP Pavilion t3225.at But after loading files setup ends with a BSOD BAD_SYSTEM_CONFIG_INFO stop 0x00000074. After some research I checked the CD and HDD, both seem to be ok. I even installed Windows XP without any problem. So I dont think its a memory or HDD problem. So I thought maybe it's some kind of driver problem, but couldn't find anything useful on the HP support site

As soon as XP is up and running I will try to do a BIOS update .. maybe that helps. I will report back after that.

In the meantime .. any ideas what the problem could be or what I could try?

thanks for your time ;)

EDIT:

It turned out that installing XP didn't work as smoothly as expected. After copying files and rebooting the system couldnt find the HDD anymore, altough in BIOS its being detected correctly. So I replaced the SATA HDD with an IDE HDD. Everything ok in BIOS again but same BOSD when running W7 setup :(

btw: before I formated the original HDD, XP was running smoothly on it!

EDIT2:

maybe this helps finding the driver issue, if any:

motherboard in this stupid PC:

MS-7184 Ver: 1.0

specs:

Features/Specifications:
MSI MS-7184 ATI RS482 Socket 939 mATX Motherboard

General Features:
ATI RS482 Northbridge chipset
ATI SB400 Southbridge chipset
mATX form factor
Version 1.0
Supports up to 4 GB DDR 333/400 MHz memory
Integrated video
Integrated Realtek ALC658C 6-channel audio codec
Compliant with AC97 specifications
Integrated Realtek 8100C 10/100 Ethernet LAN
Two (2) SATA/150 ports with support for RAID 0, 1, 0+1
Two (2) UDMA/33/66/100 IDE controllers
One (1) floppy controller
24-pin ATX power connector
Lead-free

Expansion Slots:
One (1) PCI Express x16 slot
Three (3) PCI slots
Four (4) 184-pin DIMM sockets

I/O Ports:
Two (2) PS/2
One (1) 15-pin VGA
One (1) 25-pin parallel
One (1) 6-pin IEEE 1394 FireWire
Four (4) USB 2.0
One (1) S/PDIF-out
One (1) RJ-45 Ethernet
One (1) Line-in audio
One (1) Line-out audio
One (1) Microphone

Internal I/O Headers:
Two (2) USB 2.0
One (1) IEEE 1394 FireWire
One (1) CD audio in
One (1) Auxiliary audio input
One (1) Headphone out
One (1) CPU fan

BIOS Features:
Plug and Play
Desktop Management Interface (DMI)
Supports boot from LAN, USB device 1.1 & 2.0 and SATA hard drive

Supported Processors:
AMD Athlon 64 X2 up to 4800+
AMD Sempron up to 3200+
Socket 939
2000 or 1600 MegaTransfers/second

EDIT 3:

memtest running for 2 hrs now, no error yet. I will let it run for 8 more hrs to be on the safe side

EDIT 4:

according to memtest v5.01 after 15hrs of testing: 47 PASS, 0 ERRORS So the RAM should be ok.

EDIT 5:

The BIOS update from HP support site can only be run under windows (exe-file). Since I can't install any version of windows atm ... any idea how I can run it from floppy or flash drive?

EDIT 6: I managed to install the BIOS-update with the help of mini XP from Hiren's boot CD. Atm I am wiping the HDD again. After that I will try running W7 setup again .. will take about 5hrs.

EDIT 6: After BIOS Update and HDD wipe still same problem :(

EDIT 7: After replacing the optical drive and still no luck I'm out of options. I will wait 2 days and see if you guys come up with anything and then trash the damn thing .. too much hassle :/

EDIT 8:

Ok, I dumped it. Thanks for trying guys.