v3.410 results in Invalid File Handle on processes

I'm running PG on Windows XP Home version. I upgraded to V3.410 last weekend (disable PG, uninstall, reboot, install V3.410, reboot) I saved the data file from earlier version. I ran PG for one day in Learning mode. When I turned off Learning, most processes stopped running - including IE7 - all with error messges of "Invalid Process Handle". All of these programs are listed in the Protection and Security sections of PG. I put PG in Learning mode and all programs run once again. In this mode I still get messages saying some program tried to install a hook but was denied.

I would like to get PG back to a correct functioning state, and preferably without having to redefine all permissions as the process starts running.

Any suggestions?
Thank you,
Joe