Warning: The Tor Project advises against configuring systems manually like this. The safe method is the Tor Browser Bundle, you can not expect Chrome to keep you anonymous just like this. Another option might be to tunnel an entire (virtual) machine's traffic through Tor (like Tails OS does I think) but that is out of scope here.
That error message is useful. It means the port is right because Tor is receiving data from Chrome, but Tor tries to interpret it as SOCKS data and is unable to recognize it (67 is not an existing version of SOCKS). This means Chrome is using the wrong protocol to talk to Tor, most likely (like the error says) Chrome is talking like it would to an HTTP proxy. But Tor is not an HTTP proxy, it's a SOCKS proxy.
So now the question is how to configure Chrome to use SOCKS instead of whatever it currently uses. This doesn't seem to be too hard to find:
https://duckduckgo.com/?q=chrome+socks+proxy -> http://www.chromium.org/developers/design-documents/network-stack/socks-proxy
Since Chrome is basically Chromium plus a few (non-open source) Google services added, this should work on Chrome as well as Chromium. Assuming you use Windows (another non-recommended platform for safety), it might be something like this in cmd.exe:
cd C:\path\to\chrome (might be somewhere in AppData, or maybe Program Files)
chrome.exe --proxy-server="socks5://localhost:9050" --host-resolver-rules="MAP * 0.0.0.0 , EXCLUDE localhost"
You can find this path\to\chrome by rightclicking on a shortcut to Chrome and then choosing either properties or open file location. Both will show the full path where the file, chrome.exe I assume, is contained.
In Linux you probably would not need to use the
cd command and the rest would likely be the same. In Mac OS X I don't know (please edit this answer if you know).