If you tested it in another system and it works, then we know your system is causing the problems. does the drive work in DOS?...if so, then Windows is probably disabling the controller. Try removing the controller from the Device Manager and let Winddows reinstallit. What about a interface card - Is the floppy controller your using onboard? If so, have you added any hardware that has a floppy controller on it?...If so, disable the interface cards floppy controller. check the BIOS and ensure that the onboard floppy controller has not been disabled. Probably lovate that in the "Peripheral Setup". Hope this helps some.
Eric's BIOS Post Codes