Kernel Mode Driver stopped responding/Successfully recovered. BF3 Wont let me play desperate for help.

Hey folks. 

TL;DR  

When I load ANY multiplayer or single player game the game loads like normal, level loads, game maximizes on my screen and I see the "deploy" menu and get into the game. About 10 seconds later after I start moving, the game locks up, sound plays for about 10 more seconds, the game window turns solid black and I can alt tab out of the game to shut it down and return to desktop. IF I USE A VEHICLE OR STAND STILL THE GAME RUNS FLAWLESS. AS SOON AS I START SPRINTING OR WALKING 10 SECONDS LATER THE GAME CRASHES

This happens in all kinds of multiplayer games and also in single player. 

I have a quad core Q6600 @ 2.40 ghz processor. 
Nvidia GTX 460 card 
4 gb of ram 
Win 7 64 bit. 
750w psu 



Below are the steps I've taken to resolve the issue to no avail. 

Changed graphical settings to lowest and tried different combinations. 
Clean installed all Nvidia drivers and even rolled back about 4 drivers back. 
Disabled all sound through Bios and Device manager. 
Ran in different compatibility modes 
Ran as administrator and as -not-. 
Origin isnt running in background 
Punkbuster is updated 
Clean installed Bf3 
Actually reinstalled win 7 on a clean harddrive with bf3 
Used the "expand memory for executables" on CMD 

Nothing is overclocked what-so-ever. 
The card is not over heating, sitting at 50 deg C 

I also occasionally get this error message when returning to the desktop:

Display Driver NVIDIA Windows Kernel Mode Driver, Version 306.97 stopped responding and has successfully recovered.

I tested the memory on the video card and there are NO errors. I know the card is just fine and every single other game (more than 150 tested) works.

Any advice?