I had a similar problem. If two IDE devices are on the same channel, both must run at the same data transfer rate. I simply replaced a disk drive with a new one, formatted and loaded the OS from CD, but when the system was supposed to boot from the disk drive I got the same error you did...
Go to Administrative Tools. If you're on a workstation or member/standalone server, select "Local Security Policy"; on a Domain Controller, you'll want to change the Domain policy first, so select "Domain Security Policy"
Once you change whatever settings you want...
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