Arduino resetting when running 2WD platform, why?

Hi

I have purchased the same 2WD arduino chassis. I am facing a problem which i was hoping you guys could help me with.

I am using 6.5V 2700mAh rechargeable batteries. The datasheet for the motors says that at 3V the maximum speed is 90rpm. I use a linear regulator to step down my battery voltage from 6.5V to 3V. When i apply the 3V to the motor from the regulator output the motor spins well.

From the same battery pack i am powering the microcontroller. Another regulator steps down the voltage to 5V.

I am using an L239E motor driver which is capable of supplying 1A to the motor. When i connect up my entire circuit, the motor does not spin at the rated speed. It spins very slowly.

I believe the motors are not getting enough of current.

What do you think could be the problem?

Best Regards,
Yuveer