Also the game really needs to be run at 800x600 but as my desktop is set for 1600x1200, running the game at the required resolution badly messes up my desktop when going back to 1600x1200.
Maybe something like this will help put your desktop icons back the way they were:
http://www.winhelponline.com/blog/save-and-restore-desktop-icon-layout/There are also utilities that are supposed to restore your icon positions, like "Icon Restore" and "DesktopOK."
I'd still like to hear from anyone playing these games under Win98SE with an Creative Audigy sound card. That seems to be a critical factor.
I've never used an Audigy with Windows 98.
The closest was an SB Live.
Does the problem happen with all games that use QuickTime 3 or only with Physicus?
Are you using drivers that shipped with the card or drivers from the Creative website?
Are the drivers you're using WDM or VXD type?