What is your resolution set to in the in-game configurator. I cannot recall if 1600x1200 is a "normal" resolution for KotOR/TSL... I generally play on 1280x720 or something like that, even though my monitor is 1600ishx1050. Without the widescreen hack, it is better to stick to "normal"/offered resolutions.
The "Fullscreen" option is the games default, it really shouldn't need to be tweaked unless you want to run in windowed mode, which then requires AllowWindowedMode=1 or something like that.
Have you downloaded BINK and tried to watch the movies outside of the game with that? Just a thought, it would be interesting if they played normally and at correct size outside of the game environment.
Look at the thread by kittykitty (IIRC) called something very much like "Useful features of swkotor.ini", I thing D333 also has some contribution and helpful insight on the .ini topic. Having the FullScreen=1 in two places in the .ini may be not
helpful as well.
Also, have you tried any of the ATI "fixes" for KotOR, such as the ATI Tools? Unfortunately, ATI dislikes KotOR in that their cards have never really worked perfectly and in some cases AT ALL with the games
Last thought - make sure that you have made the main swkotor2 folder as a writable folder. Do it as an admin!! Un-tick the Read-Only option under folder properties, apply changes to all subfolders, then check that the changes were actually applied to the sub-folders (Windows never works the way it tells you it will
). Then do a Windows search for the filename "swkotor2.ini" and see how many of those pop up. There should be only one, and it should be in the swkotor2 folder, but Vista/7 have a nasty habit of putting duplicated in strange places, notably the Users/Application Data folder. If there are dupes, the game can get confused quite easily, as Windows may be forcing it to look for the hidden file that you have not edited.
Sorry to have little to help ya, but I will think on it.
Nice rig by the way... bet that set ya back a bit
EDIT: Reading another help thread, ZM posted this in the widescreen thread, but it might be helpful for you as well:
Originally Posted by ZimmMaster
Navigate to your SWKotOR2 folder but don't go inside it. Right click and select properties. Then navigate to the security tab and click the Administrators entry. In the permissions box you should have Full Control checked.