You have uninstalled and reinstalled RTW, correct? And when you tried to apply the 1.2 patch it stated it was already patched, am I right?

There's your problem. The 1.2 patch leaves behind an entry on your computer's registry (where it stores data on what programs are installed on your computer) when you uninstall it, making your computer think it's already installed when it isn't. Download the 1.2 patch in zip file format, so you don't have to use the installer, and unzip straight to your RTW folder. It is available on the EB website for download.