I would hazard a guess it has to do with the older version of Dark Basic Pro (DBP) this application was compiled in. DBP v7.7 addressed this issue (taken from the Dark Basic Professional thread):
"Upgrade 7.7
===========
Major Fix
---------
Microsoft's latest Windows 7 SP1 all-in-one update package introduces a new security 'feature' which completely disables all DBP applications from running. Not the best move in the world, but don't let this lunacy stop you creating great applications. RC3 includes the fix which solves this problem."
With that said, I believe that is the issue. I can't run it either in Win 7 (using XP compatibility, etc). I ended up installing on my VMWare just to use it in XP.

Twitter: @NFoxMedia