Not to be repetitive, but this really sounds similar to the problem that I had. The following is a quote from one of my previous posts.
"Okay - so I did not read the statement that Net 2 was required. Actually, I did read it, but thought it referred to Service Pack 2. Anyway, I went to the MS site downloaded net 2 and all is well."
I know how frustrating it can be at times to get Mach3 and LazyCam sorted out, but I have found the results to be worth the effort. And, most of my problems have been due to a nut (me) loose on the keyboard.
Bob @ BobsShop