Problem with SQL ODBC Driver on Windows Server 2003 SP1 terminatin

I am new to our Applications team at work and I have struck a strange issue
on one of the servers holding the application I look after. The problem
is...when I try to create a new SQL ODBC connection or try to configure a SQL
ODBC connection, the whole box terminates itself. It just disappears.

I have tried re-installing the windows service pack 1 which didn't resolve
the issue. I have also tried re-installing the MDAC on this box which made no
difference. I have a test version of the server running same OS and Service
Pack and has the same applications installed onto it. This test box works
fine. I have tried copying over the SQLSRV32.DLL file from the test server to
the broken one, but that has not made any difference either.

I have used the Component Checker on the server and the version of MDAC is
2.8 SP2. It also says that there are no mismatched fields.

I really don't want to have to rebuild the server as it is a production
server and I don't want to upset any of the other applicatons that are
running live on this server. All I need to do is create a new SQL ODBC
connection.

Any suggestions or ideas would be greately appreciated.