HijackThis - sxe.tmp

I've run Ad-Aware, Spybot, Agent Ransack and have been running AVG Professional 7 to try and remove an "sxe.tmp" virus file installed on my XP Home Edition PC but to no avail. AVG scans, recognises that the sxe.tmp is infected and cleans/removes the files but they reappear each time the PC boots up. AVG classes the files as "Trojan horse BackDoor.Iroffer.V".

Each time I reboot and log into an account with admin rights Zone Alarm tells me that sxe*.tmp wants to access the internet. The * refers to an ever increasing number or letter which goes up one each time I log in the the admin account, e.g. sxe1.tmp, sxe2.tmp or sxeA.tmp, sxeB.tmp etc.

However, if I log in to an account on the PC with restricted rights an error message appears saying:

"Error
An error has occurred while executing this program. Free up harddrive space and try again."

Please see my Hijack This log as follows:

Logfile of HijackThis v1.97.7
Scan saved at 22:40:40, on 07/07/2004
Platform: Windows XP SP1 (WinNT 5.01.2600)
MSIE: Internet Explorer v6.00 SP1 (6.00.2800.1106)

Running processes:
C:\WINDOWS\System32\smss.exe
C:\WINDOWS\system32\winlogon.exe
C:\WINDOWS\system32\services.exe
C:\WINDOWS\system32\lsass.exe
C:\WINDOWS\system32\svchost.exe
C:\WINDOWS\System32\svchost.exe
C:\WINDOWS\system32\spoolsv.exe
C:\PROGRA~1\Grisoft\AVG7\avgamsvr.exe
C:\PROGRA~1\Grisoft\AVG7\avgupsvc.exe
C:\Program Files\Common Files\EPSON\EBAPI\SAgent2.exe
C:\WINDOWS\System32\nvsvc32.exe
C:\WINDOWS\System32\iexplore.exe
C:\WINDOWS\system32\ZoneLabs\vsmon.exe
C:\WINDOWS\Explorer.EXE
C:\WINDOWS\System32\GSICON.EXE
C:\WINDOWS\System32\dslagent.exe
C:\WINDOWS\System32\RUNDLL32.EXE
C:\WINDOWS\System32\spool\DRIVERS\W32X86\3\E_S10IC2.EXE
C:\PROGRA~1\Grisoft\AVG7\avgcc.exe
C:\PROGRA~1\Grisoft\AVG7\avgemc.exe
C:\WINDOWS\System32\iexplorer.exe
C:\Program Files\Zone Labs\ZoneAlarm\zlclient.exe
C:\WINDOWS\Mixer.exe
C:\WINDOWS\System32\ctfmon.exe
C:\QUICKENW\QWDLLS.EXE
C:\WINDOWS\System32\cmd.exe
C:\WINDOWS\system32\mui\0009\iexplore.exe
C:\WINDOWS\system32\mui\0009\sxe3.tmp
C:\Program Files\Internet Explorer\iexplore.exe
C:\Downloads\Hijack This\HijackThis.exe

R0 - HKCU\Software\Microsoft\Internet Explorer\Main,Start Page = http://www.btyahoo.com/welcome2
O2 - BHO: (no name) - {53707962-6F74-2D53-2644-206D7942484F} - C:\Program Files\Spybot - Search & Destroy\SDHelper.dll
O3 - Toolbar: &Radio - {8E718888-423F-11D2-876E-00A0C9082467} - C:\WINDOWS\System32\msdxm.ocx
O4 - HKLM\..\Run: [GSICONEXE] GSICON.EXE
O4 - HKLM\..\Run: [DSLAGENTEXE] dslagent.exe USB
O4 - HKLM\..\Run: [NvCplDaemon] RUNDLL32.EXE C:\WINDOWS\System32\NvCpl.dll,NvStartup
O4 - HKLM\..\Run: [nwiz] nwiz.exe /install
O4 - HKLM\..\Run: [NvMediaCenter] RUNDLL32.EXE C:\WINDOWS\System32\NvMcTray.dll,NvTaskbarInit
O4 - HKLM\..\Run: [QAGENT] C:\QUICKENW\QAGENT.EXE
O4 - HKLM\..\Run: [EPSON Stylus C44 Series] C:\WINDOWS\System32\spool\DRIVERS\W32X86\3\E_S10IC2.EXE /P23 "EPSON Stylus C44 Series" /O6 "USB001" /M "Stylus C44"
O4 - HKLM\..\Run: [AVG7_CC] C:\PROGRA~1\Grisoft\AVG7\avgcc.exe /STARTUP
O4 - HKLM\..\Run: [AVG7_EMC] C:\PROGRA~1\Grisoft\AVG7\avgemc.exe
O4 - HKLM\..\Run: [Microsoft Update Machine] iexplorer.exe
O4 - HKLM\..\Run: [Microsoft Kernel32] kernel32.exe
O4 - HKLM\..\Run: [Zone Labs Client] "C:\Program Files\Zone Labs\ZoneAlarm\zlclient.exe"
O4 - HKLM\..\Run: [C-Media Mixer] Mixer.exe /startup
O4 - HKLM\..\RunServices: [Microsoft Update Machine] iexplorer.exe
O4 - HKCU\..\Run: [CTFMON.EXE] C:\WINDOWS\System32\ctfmon.exe
O4 - HKCU\..\Run: [Microsoft Update Machine] iexplorer.exe
O4 - Startup: Billminder.lnk = ?
O4 - Startup: Quicken Startup.lnk = ?
O16 - DPF: {9F1C11AA-197B-4942-BA54-47A8489BB47F} (Update Class) - http://v4.windowsupdate.microsoft.com/CAB/x86/unicode/iuctl.CAB?38175.4197222222
O16 - DPF: {D27CDB6E-AE6D-11CF-96B8-444553540000} (Shockwave Flash Object) - http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab
O17 - HKLM\System\CCS\Services\Tcpip\..\{F39A7670-7432-41B5-86DF-DFD246AB0663}: NameServer = 194.72.9.44 194.74.65.86