KB is forthcoming on this issue.
If you receive the above prereq error when running the Operations Manager 2007 Prerequisite checker you are likely seeing the issue documented in http://support.microsoft.com/kb/915786 (Authorization Manager-enabled applications may not work after you install Windows Server 2003 Service Pack 1)
When Windows Server 2003 is upgraded to Service Pack 1 the assembly Microsoft.interop.security.azroles.dll may no longer be registered in the assembly cache. This file is required by Operations Manager.
If you have Windows Server 2003 SP1 and are affected download the appropriate platform hotfix discussed in the above KB article.
The utility azrlreg is not present on Service Pack 1 only on SP2. The problem is known to affect Windows Server 2003 SP2 slipstream builds only and not SP1 to SP2 upgrades.