Ok, the only way I could fix the problem was to reinstall the whole works - it was the only way to get that virus off the computer.
btw, I actually got several emails from people suggesting virus/malware removal services that were actually viruses themselves. People search for blogs talking about virus issues and then suggest "their" solution. Don't trust those people. Only take advise on the subject from people you know AND trust.
Well, I've got to find and redownload all my programs - oh the joy.