Stubborn malware

I have pretty much exhausted all attempts to locate and remove a fraudulant file from a friends computer. I have not been able to replicate the issue myself, yet have seen it one time when they were experiencing the issue. It is a window that pops up and informs them that there is a virus on the computer and that they need to install a program to remove it. They did install Personal Security antivirus which comes back as a fradulant program. I have removed it, yet I still am dealing with complaints of this coming back. I have tried the malware removal information and still not able to locate and remove the files. When i do boot the computer I do see the red security shield in the lower right corner for about 5 seconds then is disappears. It mentions that the Norton Internet Worm Protection is not turned on. Norton is not installed on this computer. I was able to get a screen shot of the warning, but am not able to find the process running in the background. I have ran Hijackthis, etc. I will include all logs.


All help is appreciated. Thanks in advance.