Look at the attached project. I created it in CVI 6.0 and tested it in 7.0 Evaluation. It uses LaunchExecutableEx to launch notepad with the Window State controlled by a ring. It can launch and terminate notepad minimized, inactive, etc.
If you're trying to launch your app the same way, maybe there's something in that app forcing it to be on top. Try launching notepad from your app and see if that works.