I got the game to test it out too. On Windows 7, the game is impossible to run without the Windows 7 binaries. It simply doesn't launch and you have to close out the programs from the task manager. So the new executables are necessary. I haven't been able to get the music going either, only the sound effects play.
EDIT: Been at this for a while, and I conclude with HGH. It just simply doesn't work on Windows 7. I've tried various methods, from different configs, to compatibility settings (including a batch file), to putting the music files virtually everywhere in the main folder, and nothing works. Game runs fine, but music isn't existent. It's either bad coding on the creator's part, or they're using a music library that is now outdated by Windows 7's standards. Either way, the only solution is a fix by the creator, really. Not much else we can do, unless someone else learns otherwise.