-ENGINE I believe selects the graphics engine to use. It looks like it's disabled but I'm not sure. The available engines to select with this option by an number following the switch are:
Software 2D
Direct3D
Software3D
Software3D MMX
I think the number following the switch selects which of the above to use in that order (i.e. -ENGINE 4 selects Software3D MMX)
As a side note, while it appears this switch is disabled, there is a registry entry that apparently works under the Configuration\Video reg. The entry is Engine Id. Mine is set to 2 which matches Direct3D