I just noticed that both Resident Evil 2 and 3 have a remark saying something about Widescreen not working properly due to some misplacement of objects and characters with the background.
That is normal with all the RE games (except Code Veronica I think), because all of those games utilice pre-rendered backgrounds and the objects/items/characters are the only models not pre-rendered.
At the moment the Widescreen hack is applied, the pre-rendered background is stretched, causing the items and other objects to not match the corresponding place where they should be.
It just looks like the items is moved a little bit to the right than usual, but it is quite noticeable.
So Widescreen for those games does work, but it is because of how the game places the items and backgrounds that doesn't make Widescreen hack an option to play it properly.
I always play those without Widescreen, and I have no problems so far.
NOTE: The same issue happens with Devolution too.