Hi Owen, thank you for your reply. Below the hijack this file and I have NOT ACCEPTED OR BLOCKED the 20+ Ad-watch alarm events described earlier that are resulting in that my programs and short-cuts will no longer work.
Logfile of HijackThis v1.99.0
Scan saved at 3

31 PM, on 12/20/2004
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:\Program Files\NavNT\defwatch.exe
C:\WINDOWS\system32\cba\pds.exe
c:\sdwork\issimsvc.exe
C:\PROGRA~1\AT&TNE~2\NetCfgSv.EXE
C:\Program Files\NavNT\rtvscan.exe
C:\WINDOWS\System32\nvsvc32.exe
C:\WINDOWS\system32\ZoneLabs\vsmon.exe
C:\WINDOWS\system32\cba\xfr.exe
C:\WINDOWS\system32\MsgSys.EXE
C:\PROGRA~1\Maxtor\OneTouch\Utils\OneTouch.exe
C:\Program Files\Roxio\Easy Media Creator 7\Drag to Disc\DrgToDsc.exe
C:\Program Files\NavNT\vptray.exe
C:\Program Files\Adobe\Acrobat 6.0\Distillr\acrotray.exe
C:\Program Files\Zone Labs\Integrity Client\iclient.exe
C:\WINDOWS\System32\wuauclt.exe
C:\Program Files\WinMX\MXMoni128Eb\MXMoniE.exe
C:\Program Files\WinMX\WinMX.exe
C:\Program Files\Kazaa Lite Resurrection\kazaalite.kpp
C:\Program Files\QuickTime\qttask.exe
C:\Program Files\Lavasoft\Ad-Aware SE Professional\Ad-Watch.exe
C:\Program Files\Internet Explorer\iexplore.exe
C:\WINDOWS\explorer.exe
C:\Documents and Settings\Hermen D\Local Settings\Temporary Internet Files\Content.IE5\S9WT01G8\hijackthis[1].exe
R0 - HKCU\Software\Microsoft\Internet Explorer\Main,Start Page =
http://www.telegraaf.nl/
R1 - HKCU\Software\Microsoft\Windows\CurrentVersion\Int ernet Settings,ProxyOverride = ;<local>
O2 - BHO: AcroIEHlprObj Class - {06849E9F-C8D7-4D59-B87D-784B7D6BE0B3} - C:\Program Files\Adobe\Acrobat 6.0\Acrobat\ActiveX\AcroIEHelper.dll
O2 - BHO: (no name) - {549B5CA7-4A86-11D7-A4DF-000874180BB3} - (no file)
O2 - BHO: Google Toolbar Helper - {AA58ED58-01DD-4d91-8333-CF10577473F7} - c:\program files\google\googletoolbar2.dll
O2 - BHO: AcroIEToolbarHelper Class - {AE7CD045-E861-484f-8273-0445EE161910} - C:\Program Files\Adobe\Acrobat 6.0\Acrobat\AcroIEFavClient.dll
O2 - BHO: (no name) - {FDD3B846-8D59-4ffb-8758-209B6AD74ACC} - (no file)
O3 - Toolbar: &Radio - {8E718888-423F-11D2-876E-00A0C9082467} - C:\WINDOWS\System32\msdxm.ocx
O3 - Toolbar: Adobe PDF - {47833539-D0C5-4125-9FA8-0819E2EAAC93} - C:\Program Files\Adobe\Acrobat 6.0\Acrobat\AcroIEFavClient.dll
O3 - Toolbar: &Google - {2318C2B1-4965-11d4-9B18-009027A5CD4F} - c:\program files\google\googletoolbar2.dll
O4 - HKLM\..\Run: [MaxtorOneTouch] C:\PROGRA~1\Maxtor\OneTouch\Utils\OneTouch.exe
O4 - HKLM\..\Run: [NvCplDaemon] RUNDLL32.EXE C:\WINDOWS\System32\NvCpl.dll,NvStartup
O4 - HKLM\..\Run: [ISSI EZUpdate Service] "c:\sdwork\issimsvc.exe"
O4 - HKLM\..\Run: [RoxioDragToDisc] "C:\Program Files\Roxio\Easy Media Creator 7\Drag to Disc\DrgToDsc.exe"
O4 - HKLM\..\Run: [AWMON] "C:\Program Files\Lavasoft\Ad-Aware SE Professional\Ad-Watch.exe"
O4 - HKLM\..\Run: [vptray] C:\Program Files\NavNT\vptray.exe
O4 - HKLM\..\Run: [w32msgr] c:\sdwork\w32main2.exe /log c:\sdwork\msgr.txt ospdb.pok.ibm.com
O4 - HKLM\..\Run: [QuickTime Task] "C:\Program Files\QuickTime\qttask.exe" -atboottime
O4 - Global Startup: Acrobat Assistant.lnk = C:\Program Files\Adobe\Acrobat 6.0\Distillr\acrotray.exe
O4 - Global Startup: Integrity Client.lnk = C:\Program Files\Zone Labs\Integrity Client\iclient.exe
O8 - Extra context menu item: &Google Search - res://c:\program files\google\GoogleToolbar2.dll/cmsearch.html
O8 - Extra context menu item: Backward Links - res://c:\program files\google\GoogleToolbar2.dll/cmbacklinks.html
O8 - Extra context menu item: Cached Snapshot of Page - res://c:\program files\google\GoogleToolbar2.dll/cmcache.html
O8 - Extra context menu item: Similar Pages - res://c:\program files\google\GoogleToolbar2.dll/cmsimilar.html
O8 - Extra context menu item: Translate into English - res://c:\program files\google\GoogleToolbar2.dll/cmtrans.html
O16 - DPF: {6414512B-B978-451D-A0D8-FCFDF33E833C} (WUWebControl Class) -
http://v5.windowsupdate.microsoft.co...?1101360912031
O16 - DPF: {DE591B16-A452-11D6-AED1-0001030A4E46} (PBGNX Control) -
https://gto.postbank.nl/GTO/PBGNX.cab
O17 - HKLM\System\CS2\Services\Tcpip\Parameters: SearchList = ibm.com
O23 - Service: DefWatch - Symantec Corporation - C:\Program Files\NavNT\defwatch.exe
O23 - Service: Intel File Transfer - Intel® Corporation - C:\WINDOWS\system32\cba\xfr.exe
O23 - Service: Intel PDS - Intel® Corporation - C:\WINDOWS\system32\cba\pds.exe
O23 - Service: ISSI EZUpdate - IBM Global Services - c:\sdwork\issimsvc.exe
O23 - Service: Network Configuration Service - AT&T - C:\PROGRA~1\AT&TNE~2\NetCfgSv.EXE
O23 - Service: Norton AntiVirus Client - Symantec Corporation - C:\Program Files\NavNT\rtvscan.exe
O23 - Service: NVIDIA Driver Helper Service - NVIDIA Corporation - C:\WINDOWS\System32\nvsvc32.exe
O23 - Service: TrueVector Internet Monitor - Zone Labs Inc. - C:\WINDOWS\system32\ZoneLabs\vsmon.exe