Hard Drive Problem for Cheap Build

We have been building a low end computer for a client. The build went fine and so did the installation of the operating system. Later the system started restariting befrore it loaded windows. We narrowed the problem to the hardrive

Components:
Rosewill R222-P-BK Steel Mid-Tower Case
Western Digital WD800BB 80 GB
Samsung SATA DVD Burner SH-S203B
Winsis KY-500ATX
Gigabyte GA-945GCMX-S2 LGA
Intel Dual-Core E2140 Allendale
Simply stated: when I leave the hard drive outside the cage of the chassis and place it on the bottom of the chassis it works fine. When I place it back into the cage it takes a long time to find the drives, goes to the Windows opening screen and then reboots. It then loops until I turn off power. If I then remove and place it back on the floor of the chassis Windows opens normally. I also should add that when Windows does load successfully and I load a program CD into the Burner, this causes a freeze and then it appears there is corruption of certain windows files on the hard drive after I reboot. I have used Western Digital's Diagnostic Software to repair the drive. Presently, Windows is loading normally (no Event Viewer problems appear) and the hard drive is sitting at the bottom of the chassis.

Any ideas or answers would be appreaciated


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Wait so you are saying that the hard drive is not working?

 

Same data and power cables in the different locations?