XP Remote Desktop connection has encountered a problem and needs to close

We launch the RDP connection, choose a desktop or server to connect to and get the following error message:

Error Signature

AppName: mstsc.exe AppVer: 6.0.6001.18000 ModName: mstscax.dll ModVer: 6.0.6001.18000 Offset: 0015b2f5

We have successfully run the telnet 3389 test.