malware making infinitely deep folders?

After usb flash infection it looked like this

folder1
folder2
...
recycler--folder1
.... folder2
......
recycler--folder1
.... folder2
foldern ...
foldern recycler--folder1
etc
so
-kaspersky reported nothing and got stuck scanning infinitely deep
-nod32 cleaned some exe files form win32/virut.bt and win32/
autorun.cob (which was probably not the one causing the replication
nor it was the Rjump.c I deleted manually-nod32 did not notice it)
-avg free, cleaned the wqesvxa.exe or autorun.eq


Which of the mentioned malware the symptoms correspond to (and how can one fix folders structure) or
maybe there are still some other viruses?