I have an LC Studio labeled reader that works fine with 5v and 3.3v. The first post mentioned "noise" and that the caps for the regulator were not grounded. C3(input and other side to ground) C4(output and other side to ground). My LC Studio has proper connections, proper grounds and I don't have issues.
Check the LM1117 regulator datasheet pinouts: mine is (1 Gnd, 2-Vout, 3-Vin). You might have shorted the supply to ground as the schematic pins are not left to right with the datasheet. Always check datasheet, and test with dmm if you can.
If you're using sdfat check the "troubleshooting.txt" in the lib directory. Your card could be an issue as well. Try others if you have them. Sometimes it's hit or miss with the cards. I haven't used anything >4gb.
Also, I find you must use SPI_HALF_SPEED with these adapters.
Posting code might help too.