Your machine is not underpowered, I run it great on a similar machine, 1.3 Duron and a 4200, although you didn't say how much RAM you had, if it ran ok before then the solution below might help.
I would try a different set of 4-in1 drivers, and not necessarily the newest ones.
Maybe it is they that don't like the patch. Does sound like the kind of thing they would cause, runs great apart from the odd glitch.
Give it a shot.
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