Fortunately Fahad Khalil found the answer to this, he posted this simple solution on his blog.
I am reproducing it here for my own records. Shoot your IIS Console, then click on the Default Website and click on Properties. You will see a Brand new shiny tab [labelled ASP.NET] ... courtesy VS .NET 2005 :). Select the correct version i.e. 1.xx :)
Cheers Fahad. Saved me a lot of work.
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