I'm experiencing this same problem, WED won't open. I've tried to open it via the SED/Tools/WED and by running it via the WED.exe in the program folder. Either way I get an hourglass for a split second but nothing happens.
As for the -diag switch, I can't run that with the wed.exe. I did run it with the acknex.exe and the log file showed basically the same as above.
I purchased Lite-C Full for an Xmas present and am just now trying to get it working properly. I emailed support but there was a generic response that I needed a support ticket which it nowwhere explains how to obtain. And that I could find the answer to most questions on the website/forum. I had searched here prior to emailing support but did not find the answer.
This posters problem is identical to mine which has gone unanswered since 12-4-07 which doesn't make me confident I'll get this working and will have to obtain a refund.
Please assist before this is necessary.
Thank you.