That ram likes 1.9V, but the motherboard defaults to DDR2 standards which is 1.8V, which can cause issues. Had exactly the same problem when building a rig with that motherboard and ram for a friend.
Trick I used sucessfully was to only install a single memory stick. That got the machine booting up (All the way to windows infact). Anyway once it would startup, I could enter bios, and increase the memory voltage to 1.9. After that it was simply a matter of adding the second memory stick, and all was well after that.
Oh the power on power off power on thing... That seems to happen on IP35-E boards when a 1066FSB processor is installed. Im guessing it defaults to a 1333 strap, and when it powers up, if a 1066 processor is installed, it resets strap and power cycles. A bios update 'might' sort this howere, once past the initial cold boot it doesnt affect stability. Its just annoying the first time you power your PC. A 'reset' or 'reboot' doesnt trigger this effect. It only happens when the PC's been turned off.