Error 1935 when installing office 2007 on Windows 7

I am having a Windows 7 based desktop at my home. Since last days it was working too slow and crashing few times. Hence I formatted the entire had drive and re-installed Windows 7 again. There was no problem in the OS installation but now when am trying to install Office 2007 again, it ends up with the following error message:

error 1935: an error occurred during the installation of an assembly component {97F81AF1-0E47-DC99-A01F-C8B39A1E18E} HRESULT 8x800737FD

I already tried the setup more than 10 times but yet the same result. Any suggestion or fix for this ?

Most of the time Error 1935 gets solved by restarting the system and running the setup again. I guess you might have already done that. Hence, you should checkout this KB Article with three different troubleshooting steps for the same: http://support.microsoft.com/kb/926804

For more help on this error you can also refer this:
http://forums.techarena.in/windows-software/1355304.htm
http://forums.techarena.in/office-setup/870134.htm