Need help getting rid of System Security

It won't allow me to open anything. Gives a message:

"Application cannot be executed. The file "example.exe" is infected.
Please activate your antivirus software."

I can't open taskbar, Add or Remove Programs, etc. Please help!

I'm using Windows XP

Please download Ice Sword from HERE

1. Download the zip to your desktop and extract it.
   
2. Open the Ice Sword folder and then launch IceSword.exe.
   
3. IceSword.exe will randomly rename itself when opened, so let me know if it is able to bypass the malware and stays open.
   

It stays open.

Thanks, at last, I've found a hole in the malware.

• Open the Ice Sword folder and then launch IceSword.exe.
  
• Then look in the left hand bottom of the program and press "Registry"
  
• When the registry list opens, drag the line between the two windows so you can see which registry hive you need.
  
• Next, open the HKEY_LOCAL_MACHINE, and navigate to the following key:
  
  HKEY_LOCAL_MACHINE\Software\Microsoft\Windows\CurrentVersion\Run
  
  
• Next, look in the right side pane, and there should be one or two values that are just random nummbers.
  
• They points to random name numbered .exe inside a folder that is also random numbers.
  
• Once you have found the value(s), right click it and press "Delete"
  
• Okay the prompt and close IceSword.
  

Reboot the machine.

After reboot, the false alerts should have stopped.

Please download the current version of HijackThis from HERE

• Double click and run the installer.
  
• It will install to C:\Program Files\Trend Micro\HijackThis\hijackthis.exe
  
• After installing, you should get the user agreement, press accept and Hijack This will run.
  
• Select Do a system scan and save a log file. This will open a notepad file of everything Hijack This found, copy and paste it back here.
  

Thank you SOSOSOSO much!

Please post a new Hijack This log.