Vertex Shaders issues

[nerevar007]

First post here guys, I have compiled Penumbra and the two libraries needed in order to get it working correctly. I've got the exe to build correctly, and I have solved most of the errors that the program issues to me. Newest problem, the built exe throws me an error and will not launch saying that my graphics card does not support vertex shaders. I know this isn't the case, as my steam version of Overture works flawlessly. 

I've tried deleting the vertex shader check in the Penumbra solution, this makes the game launch, but with major graphical glitches. Menu is blocky, loading screen is non-existent, and graphics are black in game. I'm trying to figure this out myself, but would appreciate some help if some can be given.