Yeah, I think we found the problem. That generic crappy PSU can put out 70% of it's rated power. The power on the label is maximum output for a few minutes. So if you take 300X0.7=210W continuous. You are pushing that poor thing and it will soon just blow-up.
I had a 450W generic crappy that came with my case. I blew it up within a week while playing HL2. I have a 6600GT and an AMD 3500+, one HDd and one DVD/CD R/W, that's it.
Antec, OCZ, Thermaltake are all good manufactures. You should look for a PSU with at least 22A on the 12Volt rail.
Cheers.