Sorry, but this is your problem. It is notoriously flaky, and any success in restoring your system with it will be purely coincidental.
I tolerated ME for about a week then put 2000 on. There were lots of things ME just wouldn't do (as compared to MS in general... which is saying something)
Suggest going to your printer's website and searching for this problem. I had a similar problem and ended up emailing the company and they helped me through my problem.
If that doesn't work, do a google search. Almost every computer problem I've ever had I've been able to fix by doing a search on Google or the hardware/software's website.
Good luck. These things are so aggravating.
I had a problem with my HP last night. Went to www.hp.com an went to their support page. They have an excellent forum. I got an answer to my problem within a few minutes. Of course, your mileage may vary.
As an alternative to System Restore you can use:
scanreg /restore
Type that in the Run box and select a registry restore point that is labeled as "started".
I use Win ME also. Unlike others here, I like it and have no problems with it. It is a troubled child but that just means it needs a little more TLC.