error Openrowset on the provider

I am a newbie, and need all the help i can get!

I am using SQL Server 2000 Personal edition on a Windows XP Pro wkst. I have just installed it, so maybe I have not configured it properly, I just created 2 new databases, online and off. I am trying to import data from Paradox db. I am using the DTS Import/Export Wizard in Enterprise Manager.

I select the database I want to import, which I have copied onto my local hardrive,C: Databases\old.db.

Then when I go to select the destination,
Provider: MS OLE DB Provider for SQL,
Server:local server-(this is my wkst, right?),
Use windows authentication( I have it set to use both windows and sql in security settings)
Database: new (database i just created.)

Next under Select source tables and views it shows my source database: old.db and destination [new].[dbo].[old]

When I click on next I get the following error:
Error source: Microsoft JET Database Engine
Error descrip:Unexpected error from external database driver
Context: Error calling OpenRowset on the provider

What am i doing wrong?

Thanks for your help.Get latest drivers for Paradox.