Getting error message when setting up Mercurial SC server on Windows Server 2008

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Tags:
Windows Server 2008
I've been to set up a Mercurial SC server (on Windows Server 2008) and I keep getting this error after completing the configuration. I've already checked the settings several times and it looks like everything is okay. Here's the error:
Server Error in Application "DEFAULT WEB SITE/HG"Internet Information Services 7.5

Error Summary
HTTP Error 502.2 - Bad Gateway
The specified CGI application misbehaved by not returning a complete set of HTTP headers. The headers it did return are "Traceback (most recent call last): File "C:inetpubhgcgihgwebdir.cgi", line 12, in  from mercurial import demandimport; demandimport.enable() ImportError: No module named mercurial ". Detailed Error InformationModule CgiModule
Notification ExecuteRequestHandler
Handler Python 2.5
**Error Code 0x00000001**
Requested URL http://localhost:80/hg/hgwebdir.cgi
Physical Path C:inetpubhgcgihgwebdir.cgi
Logon Method Anonymous
Logon User Anonymous
 Most likely causes:
The CGI process was shut down or terminated unexpectedly before it finished processing the request.
The CGI process has a flaw and does not return a complete set of HTTP headers.
 Things you can try:
Check the event logs on the system to see whether the CGI process is shutting down unexpectedly.
Has anyone seen this error before? If so, what should I do to fix it?

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