LOL Yeah I did try that also.
x32_dbg will pass along the first exception but something else is still going on as the exe will crash. I could debug the same file or any other file before no problem under the VM.
The main difference between x32 loading up the process and Olly is that after the initial system BP, x32 will break at entry with INT3 like it should. Olly won't continue to the entry point from the system BP, instead it will loop with the INT1 message. When I change Olly to break on program entry, it will break at the entry point saying its using INT1 and then a message about the BP being corrupt modified blah blah blah. But this only works if I enable the permanent BP on system calls option. I don't use Olly2 very often but I don't remember having to enable that before. I did not change to use any other types of BP in the Olly options. No matter, the exe will still crash when any debugger is attached. It was all working fine the last time I booted up the VM. ???
I'm looking at the host system for anything else out of the ordinary. Getting to the point where it would be faster to pop in a new drive and install fresh. Cheers - jack