After that when I went to run th Menu Overhaul it told me that Aali's driver was incorrctly installed, but I could still continue.
This is perfectly normal, if you have a 64 bit Windows.
The keys inside
HKEY_LOCAL_MACHINE\SOFTWARE\Wow6432Node\Square Soft, Inc.\Final Fantasy VII\1.00\Graphics
are on a 64 bit Windows elsewhere deflected out.
You can set the value for 'Driver' with regedit manually to
3, then believe MO (and others), the driver is installed correctly.
Now the UMI says the same thing, I install anyway and it sys that it worked but maked no changes to the models.
Remove (before modding) the protectionflag from all files in the games folder. (right-click Games folder, select Properties and remove the write protection.