According to a couple readme files, the only possible reason for sound failing to work is a codec conflict. You can try to install the audio codec that the game uses:
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Quote:
2. From your main installation folder (the default is
C:\Program Files\Monolith Productions\Condemned: Criminal Origins Demo),
double-click on the file named WMFADist.exe, and then follow the
on-screen instructions. This will manually install the audio codec that
is required by the game.
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Otherwise, check device manager (Sound, video and game controllers->Audio Codecs [right click->properties]->properties tab) and try removing random codecs, I suppose. You can always reinstall a codec if necessary; it is unlikely that removing the incorrect codec will cause any major issues.
Unfortunately, there does not seem to be much information on this problem.
Jam it back in, in the dark.
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