>>>Two questions:
>>>1. How can I trap the error (or find out what exactly caused the error in the INIT method)? Should the entire INIT method to be within TRY/CATCH? Note, that even if I do that, the INIT initializes a bunch of BIZ objects that are dropped on the form. So, I am not sure where the error is generated, in the INIT code or in the code that instantiate all BIZ objects.
>>>2. Could the error 1 (above) be a precursor that the desktop lost connection to the network? And hence even the dl_error.vcx cannot be found?
>>>
>>>UPDATE: Probably main question. What code should check if the Application EXE is still available and that the library DL_ERROR.VCX in this EXE can be read? That is, what code should be executed before:
>>>

>>>oErrorForm = NEWOBJECT( "dl_error_message", "dl_error.vcx",...)
>>>

>>
>>It looks like you're instantiating an error handler/form when an error occurs. One thing you could do instead is instantiate it when your app starts and have it globally available - if it's a form, maybe hidden (?) That way it will be guaranteed to be available if an error occurs.
>
>Interesting approach. I have never done it; but it makes sense. I will need to carefully test it first.

The bad thing is: app/exe is nothing but a glorified table accessed to read next class or function.
What you are asking for is a potential RETRY for any app/exe access.
Or caching all possible exe accesses at start (laugable, but in theory doable!)
How about another kind of cache ?

Since you have been running into this net-wall for a few days now, instead on trying to break all bricks in this wall, try another approach: get # of errors with exe on share.
Either provide a local install manually or give it half a day to get a loader or launcher fitted to your install.
Compare # of errors after a week. If local install incurs markedly less errors, use a loader on all "difficult" sites.
Show any admin not happy with each user having same exe in his "local" files the reduction of errors and ask him if he wants to start straightening out all the errors you sidestepped.
Ooops - you have cached ALL the exe-internal network accesses to your local disk ;-))