This is something I see frequently. Here's my little FAQ about it:
When running an Installshield 6 installer:
If you get the error "Error installing iKernel.exe: (0x1400)" at any point, it's probably because there are leftover processes from a previous try. You can verify this with the command $ ps augxw | grep wine
If that command shows old copies of wine running your setup, you need to kill them before you can run the setup program. If there are no other Wine programs running, you can kill them all with the command $ killall wine If you're also running Wine programs you care about, you'll have to kill off the old Setup instances one by one using kill and the individual PIDs (or perhaps Wine's spiffy Task Manager, which doesn't exist yet).
Then repeat the ps to make sure the old wines are gone. - Dan