ATI Radeon VE card compatibility issues

I recently installed an ASUS A7V-E motherboard with a 1 GHz processor and a 32 meg ATI Radeon VE video card. Now when everything was setup in Windows 98, Windows showed everything as working properly, no conflicts. But whenever I try to run an application that requires Direct3D support or any kind of card acceleration, the screen makes odd patterns or goes black and the system locks up. I tried setting the Windows Graphic acceleration lower, seemed to help, but then games cannot be run. Any suggestions would be welcome.