WIth CA SCM, why do I get the following HARWEB error: Can't get hDB from pool?

When I navigate to http://inwpiccm02:8080/harweb I get the following error:
Can't get hDB from pool. Check your 'harweb.cfg' and restart your servlet server.<br>java.lang.NullPointerException

SCM Version: r12.1.3
JDBC for SQL Server version: 4.0
$JAVA_HOME:C:\Program Files\Java\jre7

harweb.cfg:

JDBCDriver=com.microsoft.sqlserver.jdbc.SQLServerDriver
JDBCConnectionURL=jdbc:sqlserver://INWPITSQL01;databaseName=cascm_test;integratedSecurity=false;selectMethod=cursor
Database=SQLServer
ConnectionPoolSize=5
ConnectionPoolMax=100
ConnectionUseCount=5
ConnectionTimeout = 2
Broker=inwpiccm02
AuthMode=Internal
WorkingDirectory=C:\\Program Files\\apache-tomcat-6.0.32\\webapps\\harweb\\temp
SessionTimeout=600
BusinessObjectsURL=http:// hostname:portnumber/InfoViewApp/logon.jsp
ContextsMaxCount=30
AllowedSwitchInBetween=true

Error log:
Java Runtime Environment (JRE) version 1.6 is not supported by this driver. Use the sqljdbc4.jar class library, which provides support for JDBC 4.0.

I am sure I am using the correct db credentials.

Any ideas? THanks