Just in case anyone cops this nasty little bug (it snuck in on an email from someone I have not heard from for a while) here is what worked for me.

In explorer, look under c: docs & settings/all users There will be a numerically named sub-folder. You won't be able to delete anything (the trojan stops all admin privileges, and prevents all .exe files except explorer and Iexplorer working) but you can rename them. Do so and restart. _Now_ your Spybot and AVG will work and, after updating databases, will remove it.

All the other cures I tried, gleaned from my Windows ME machine (less trouble in ten years then two in XP) did not work because the trojan stops all possible other avenues (starting control panel; using AV) of access to it.

I don't know how it managed to sneak in so quickly. The email was empty, which puzzled me for a second or two; then I heard the hard drive threshing away and went for the hard off button. As it closed, a spybot window popped up with a warning but the machine was already shutting down. Maybe that was my mistake - I should have let the software do its thing, although previous instances have caused the warning windows to arrive without hesitation and without any HDD thrashing. Anyway, on reboot the trojan was in full control. It's taken most of today to remove it. And I still have a horrid, nagging doubt in the back of my mind....

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