Had the same issue with our '00 DII last Fall. Somewhere there is a procedure to measure the resistance of the switches that are under the modulator. You disconnect the multiplug at the modulator and measure for resistance. In my case, there was no continuity, so I ordered the switch kit(~$75).
Removed the modulator and then removed the switch housing. Cleaned it up and still no resistance, especially compared to the new part. There are 2 switches that basically kick in a different resistor for each switch. By measuring the resistance, the system is able to determine which switch is activated. So I replaced everything and the lights went away instantly. So far so good for almost a year.
Now, there was _some_ brake fluid in the switch area, so I figure the switch pack may go again at some point unless the seals are redone.
Overall, it was around $100 for the kit, shipping, brake fluid for a complete flush, and rags.