Edit: (April 14, 2012) Okay, fixed that text problem, the exe is here, (the link down there was changed too) Full download on the side if that's your thing or don't already have the game. Let's pretend 3.0 didn't exist and that text issue was all a bad dream... right?
(April 13, 2012) So yeah the font distortion in the new version... *headdesk* This is an issue that plagued the game about 2 years prior (on certain machines, and apparently my machine now) that I could never figure out how to fix, despite my efforts. Then one day, Game Maker updated to 8.1 and the font issue went away... FOREVER... or at least I thought forever until GM8.1 updated again last week... I blame them... for everything. For some reason though, it seems to only effect the text that displays when the camera moved the frame before. So cutscenes it's fine. But the text that pops up in action will distort... and only for dialogue boxes, not menus or anything else. That leads me to believe it's something I can fix, it's probably some issue with the text being draw on a floating point coordinate... wait, I never thought of that till now... *tries something*
Edit 2: AuGhghdheiasd;jfopihsdf;lksjdf That's me being a derp. It was indeed that the text position was not done as an integer. I have to go, but when I return later this afternoon, I'll re-release that update cause I failed to notice that so long ago. You'll know cause it will have a nice little .1 at the end instead of that .0. Oh man, at least I now know now know noknlsdkfjsaldfkhas;ldfkjasdfsf. Sorry about that mistake.
Just a quick note here about a new update for DT1. This should fix up the issues people are having with the West Side Jungle level or any problem with backgrounds not loading in properly. It also fixes my terrible misuse of "it's" and "its". Yeah, Game Maker has a search function... (Man I suck.) There's also a few very minor balance tweaks, 99% of them are for things near the end of the game.
The new version no longer has a "Backgrounds" folder since all of those are in the exe now. If you already have the game, and don't want to download 68mb worth again, you can also download just the exe file:
DT1 Exe Only
Simply put it where the old exe is and run it from there!
About the game not running
I develop the game on Windows XP, and I've noticed a lot of the issues come from users of Windows 7 and Vista. I cannot personally test the game on these platforms as neither I or my roommates have those versions of Windows, however... I've seen a comment on youtube where a user could not start the game, then he put it in 'Program Files' and the game worked. I don't know how/why that works, but if it worked for him, it may work for others that can't get the game to run. (Looks like I may do some research on that subject.)
Another thing to try is setting the game to run in 32-bit compatibility mode if you're running on a 64-bit system.