I use ePSXe 1.2.0 ( I am gonna download 1.4.0 tonight

) and Win2K too but I never had this kind of problem. I use the internal ePSXe CD-R driver and I think is the best solution under Win2K. I have to say that my computer has SCSI and the CDROM is SCSI too.
What errors can you see in the ePSXe DOS window ? can you cut&paste those errors here ?
Better use BIOS 1001 since is the one prefered by ePSXe
Let us know
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Config :
- PentiumIII 500Mhz
- Asus P2B-S
- Asus 3200 (3DFX Banshee)
- SBLive! 4+1 speakers
- CD-RW HP 9600si
- CD-ROM Pioneer SCSI2 36x
- DVD Creative 5x + EncoreXr3
...... and ofcoz PSX