I'm having this exact same issue. I've got TFD, Windows 7, 64-bit, and I'm trying to run the first Command and Conquer, and it immediately crashes. All I get is that error. Please help, I'm tearing out what little hair I have left.
EDIT: I've installed the unofficial TFD patch, and the problem occurs with or without it. Changing the compatibility mode from 95 to 98 does nothing, but changing it to Windows NT got rid of the error -- the only downside now is that the colors are screwed up, the video's locked in the upper left corner, and the game crashed within seconds of the first mission. Nyerguds' patch resolved some of this, but now, in mid-mission, the map jumps up and to the left, and I can't see anything going on in the off-screen areas. But, at least it's playable.
