Ok people here is how you fix it i had problems with this my self.
The mouse stop working after you sign in because of a problem with the sound all you have to do is load it in DOSBox by draging the L&D2 EXE file onto the DOSBox EXE file then go to your office and turn the sound off using the clipboard on your desk then exit the game by click at the top of the screen.
After this load it up and it should work fine, hope it helps.