Client Side transformation crashes IE

I have a weird problem,

After transforming the xml data got as response from the server while ClientSide XSL transformation is enabled, the IE browser just crashes.
It is very consistent and happens only in certain win2k machines.

Some more info about the environment,

Internet Explorer Version: 6.0.2800.1106CO
- Microsoft Windows 2000
- MSXML2 v3.0 in replace mode
- Java Plug-in 1.3.x, 1.4.x


In our code we have an option to specify the xsl in the xml to be used for transforming.
Also we have an option just to return XML data alone without xsl
reference(by just including &dump in the URL), even then the browser crashes. It crashes after loading the XML completely. Error is 'Microsoft Internet Explorer has encountered a problem and needs to close.....".

This is the snippet of the code we are using,

<<<<<<<<<<<<<<<<<<<<
response.setHeader("Pragma", "no-cache");
response.setHeader("Cache-Control", "no-cache");

if(dump != null)
{
String applicationroot = FileHelper.getApplicationRoot();
if (applicationroot != null) {
String tempdir = applicationroot + File.separator + "temp" +
File.separator + "xml" + File.separator;
File directories = new File(tempdir);
if (!directories.exists()){
directories.mkdirs();
}
String filename = pageName+"Dump.xml";
File xmlfile = new File(directories, filename);
FileWriter fwriter = new FileWriter(xmlfile.toString());
PrintWriter pwriter = new PrintWriter(fwriter, true);
pwriter.println(xmlData);
pwriter.close();
}

if(Output.Debug)
Output.write(" dumping pure xml to browser", 1);
response.setContentType("text/xml");
PrintWriter out = response.getWriter();
out.println(xmlData);
return;
}
if(m_EnableClientXSLTransformation)
{
boolean bIsIE6 = false;
this.getUserAgent(request);
String useragent =
(String)request.getSession().getAttribute("User-Agent");
if(useragent.indexOf("MSIE 6.0") != -1)
{
bIsIE6 = true;
}
if(bIsIE6)
{
String xmlStartStr = "<?xml version=\"1.0\"?>";
if (Output.Debug) Output.write("Client Side XSL Transformation is
enabled", Output.INFORMATIONAL);
String clientSideXSL = this.doGetClientSideXSL(pageName, request,
response, xmlData, pc, pageRequest);
if (Output.Debug) Output.write(" Sending pure xml to browser with
the stylesheet reference", Output.INFORMATIONAL);
//response.setContentType("text/xml");
response.setContentType("text/xml; charset=UTF-8");
PrintWriter out = response.getWriter();
out.println(xmlStartStr);
out.println("<?xml:stylesheet type=\"text/xsl\" href=\"" +
clientSideXSL + "\"?>");
out.println(xmlData.substring(xmlStartStr.length(),xmlData.length()));
return;
}
}
>>>>>>>>>>>>>>>>>>>>>>

Is it something do with MSXML. Any insights/help is greatly
appreciated. (urgent)

Also more details as what exactly triggers client side tranformation would be great.

thanks
Ashok