Thank you for finally solving this.

I'd been experiencing the same problem with every version since 1.7c. The following fix cleared the 1608 install error:

Uninstall LimeWire and Java Runtime Environment, reinstall Java, install instmsiw.exe and isscript.exe from the links provided in previous post (choosing "open" instead of "save"), restart and run the latest LimeWire installer again.

Notes:
Adaptec was installed and running during the installation with no problems.

I am running Win2k with the latest updates and patches.