I think that I've figured it out. It seems that while running on win7 x64 without RAD installed process immediately disapperas.
However, I've tried running this file on several VMWare machines and these are my results:
Win7 x86: BDS 2006, failed
Win7 x86: RAD 2010, success
Win7 x86: RAD 2011, success
Win7 x64: RAD XE3, success
So it seems that this file will run on any OS with BDS > 2006.
BTW: This file is VCL 54, not 57.