Rhetro,
You are not alone with your probelm. I have tried Mamewah with Mame32 (.082) and I am having the same problems that you are.
I have tried Atomic FE, Dragon King, 3dArcade/Emulaxian (My Fav) and MALA and they all work fine.
I have been told that Mamewah is the easiest to use, but I can't see that being the case in my situation.
I am, however, still struggling with skinning my 3dArcade, with mixed results...none of them good yet. I am new to the sport so I'll stick with it in hopes of getting it to work.
I went as far as copying your .ini file over to mine and made the required changes to the paths etc. and it still didn't work.
Now if I can figure out how to skin MALA, 3DArcade and Atomic FE, I'll be happy.
I know this didn't help, but I wanted you to know that someone else was feeling your pain.

John