SOLUTION:
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 1 ) Reduce system SGA 
 2 ) Reduce PGA/UGA contents (Sort_area_size) 
 3 ) Increase memory addressability from 2G to 3G (this requires WindowsNT Enterprise edition plus SP3) by doing the following :  
Here is the boot.ini on the system drive 

[boot loader] timeout= 30  default=multi( 0 )disk( 0 )rdisk( 0 )partition( 2 )\WINNT [operating systems] multi( 0 )disk( 0 )rdisk( 0 )partition( 2 )\WINNT= "Windows NT Server Version 4 . 00 " /3GB multi( 0 )disk( 0 )rdisk( 0 )partition( 2 )\WINNT= "Windows NT Server Version 4 . 00  [VGA mode]" /basevideo /sos      Note the /3GB setting added to the 4th line above Also copy the imagecfg utility (Present on the Windows NT cdrom in the support  folder) and use the following command   Imagecfg -l oracle.exe  and if connections are via a listener then also Imagecfg -l tnslsnr.exe