I can’t say for sure that this is your problem, but the IP ranges you’re using aren’t private ranges. Were you assigned those ranges by your ISP or did you just choose them? For a class B network (255.255.0.0) you should be using something in the range 172.16.0.0-172.31.255.255.
For example you might make Domain 1:
and Domain 2:
Also is it really necessary for you to have the two domains on separate subnets? How many machines in each domain? If there are less than 200 or so machine in each subnet then you might try this kind of scheme:
172.16.1.x for domain 1 and 172.16.2.x for domain 2. Easily distinguished by their IP addresses but actually in the same subnet if you continue to use the 255.255.0.0 subnet mask.
Once you’ve got your IP addressing straightened out I think you’re going to need to do a thorough review of your DNS. Are you using Windows DNS or BIND or ?