Fresh SQL Server 2005 giving problem in accessing access 97 file through Jet Ole DB Provider

[rathi.vis]

Problem:Jet 4.0 Ole DB Provider stops working the momemt SQL 2005
server is installed.

Environmental steps:

1.Installed XP Sp2

2.Installed SQL 2005 Server with SP1

3.Trying to import data from an access 97 file

Actual problem:The linked server gets created but when try to read
data we get attached error
The problem displayed is following

[02/19/07 18:24:47]: Cannot initialize the data source object of OLE
DB provider "Microsoft.Jet.OLEDB.4.0" for linked server "MGMTREPORTS".
OLE DB provider "Microsoft.Jet.OLEDB.4.0" for linked server
"MGMTREPORTS" returned message "Cannot open database ''. It may not
be a database that your application recognizes, or the file may be
corrupt.".


Steps to recreate
USE [master]
GO

EXEC sp_addlinkedserver
@server = 'PROLMDB',
@provider ='Microsoft.Jet.OLEDB.4.0' ,
@srvproduct ='OLE DB Provider for Jet',
@datasrc = 'c:\PRO_LM_DB.MDB'
GO

-- Set the DBF files' logins.
EXEC sp_addlinkedsrvlogin
@rmtsrvname = 'PROLMDB'
, @useself = false
, @locallogin = NULL
, @rmtuser = NULL
, @rmtpassword = NULL
GO

SELECT [TRACK_ID]
, [EQUIP_ID]
, [PROD_ID]
, [SERIAL_NO]
, [TOP_BOTTOM]
, [START_TIME]
, [END_TIME]
, [TIME_STAMP]
, [LMNC_NAME]
, [Archive]
, [PAGERID]
, [ENDTIME_STAMP]
, [PROD_NAME]
FROM PROLMDB...TRACKDATA
GO