Sounds like a dodgy graphics card. The version of DirectX might have made a difference too (there were no less than 8 versions in Win95's support lifespan!).
Why were you using a Windows emulator anyway? DOS-based emulators also work on Windows 95 and 98, and are faster. Just saying.
The reason why I'm talking about all this is because, obviously, I'm a fan of Windows 95, and something working better on Windows 98, which is essentially Windows 95 with Internet Explorer shoehorned in (which caused a lot of problems), is weird.
Eh, let's leave it at this before I cause another OS flame war.
<_<
>_>