LG Netbook infected

Hey there Guys,
I got a new LG-x120 2 weeks ago (passing through Singapore) & think an infected USB has passed on a Trojan or backdoor program - & later found numerous hidden "My Games" folders each at 82kb each.
Noticed things not right & used the LG recovery program twice.
But something is there.......... & pis*ing me off !!

AVIRA cannot update - whenever a home directory is set a TEMP folder is added to the path. And its telling me I have a fully registered version when I'm using the Free Version.
(Although I did add on Antivir Rootkit standalone).
Whilst AVG's rootkit scanner refused to work!
The Wireless Connection icon will sometimes not appear, yet I'll be (unknowingly) online.
Had windows pop up or minimise by themselves, and the mouse pointer move around "unaided"!!!
Its worse on my LG laptop (but one system at a time) And thats not with me!!

BTW Vuze has been uninstalled.

Thanx Craig.

Logfile of Trend Micro HijackThis v2.0.2
Scan saved at 5:49:22 PM, on 17/09/2009
Platform: Windows XP SP3 (WinNT 5.01.2600)
MSIE: Internet Explorer v8.00 (8.00.6001.18702)
Boot mode: Normal

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
D:\Program Files\Avira\AntiVir Desktop\sched.exe
D:\Program Files\Avira\AntiVir Desktop\avguard.exe
C:\WINDOWS\Explorer.EXE
C:\PROGRA~1\AVG\AVG8\avgwdsvc.exe
D:\Program Files\Sony Ericsson\Sony Ericsson PC Suite\SupServ.exe
C:\Program Files\SRS Labs\WOWHD and TSXT Driver\SRS_PostInstaller.exe
C:\WINDOWS\system32\svchost.exe
C:\Program Files\Intel\Intel Matrix Storage Manager\iaanotif.exe
C:\Program Files\Intel\Intel Matrix Storage Manager\IAANTMon.exe
C:\PROGRA~1\AVG\AVG8\avgemc.exe
C:\PROGRA~1\AVG\AVG8\avgrsx.exe
C:\PROGRA~1\AVG\AVG8\avgnsx.exe
C:\WINDOWS\RTHDCPL.EXE
C:\WINDOWS\system32\hkcmd.exe
C:\WINDOWS\system32\igfxpers.exe
C:\Program Files\Synaptics\SynTP\SynTPEnh.exe
C:\WINDOWS\system32\igfxsrvc.exe
C:\Program Files\USB Camera\VM331_STI.EXE
C:\WINDOWS\system32\rundll32.exe
C:\Program Files\LG Software\On Screen Display\HotKey.exe
C:\Program Files\LG Software\IP Operator\IP Operator.exe
C:\Program Files\AVG\AVG8\avgcsrvx.exe
C:\Program Files\LG Software\Battery Miser\batterymiser.exe
C:\PROGRA~1\AVG\AVG8\avgtray.exe
D:\Program Files\Avira\AntiVir Desktop\avgnt.exe
C:\Program Files\Java\jre6\bin\jusched.exe
C:\Program Files\SRS Labs\WOWHD and TSXT Driver\SRSTrayApp.exe
C:\WINDOWS\system32\ctfmon.exe
C:\Documents and Settings\Craig\Local Settings\Application Data\Google\Update\GoogleUpdate.exe
D:\Program Files\WIDCOMM\Bluetooth Software\bin\btwdins.exe
D:\Program Files\WIDCOMM\Bluetooth Software\BTTray.exe
D:\PROGRA~1\WIDCOMM\BLUETO~1\BTSTAC~1.EXE
C:\Program Files\lg_swupdate\Gilautouc.exe
D:\Documents\Bluetooth Exchange Folder\winlogon.scr

R1 - HKLM\Software\Microsoft\Internet Explorer\Main,Default_Page_URL = http://go.microsoft.com/fwlink/?LinkId=69157
R1 - HKLM\Software\Microsoft\Internet Explorer\Main,Default_Search_URL = http://go.microsoft.com/fwlink/?LinkId=54896
R1 - HKLM\Software\Microsoft\Internet Explorer\Main,Search Page = http://go.microsoft.com/fwlink/?LinkId=54896
R0 - HKLM\Software\Microsoft\Internet Explorer\Main,Start Page = http://go.microsoft.com/fwlink/?LinkId=69157
O2 - BHO: AcroIEHelperStub - {18DF081C-E8AD-4283-A596-FA578C2EBDC3} - C:\Program Files\Common Files\Adobe\Acrobat\ActiveX\AcroIEHelperShim.dll
O2 - BHO: WormRadar.com IESiteBlocker.NavFilter - {3CA2F312-6F6E-4B53-A66E-4E65E497C8C0} - C:\Program Files\AVG\AVG8\avgssie.dll
O2 - BHO: (no name) - {5C255C8A-E604-49b4-9D64-90988571CECB} - (no file)
O2 - BHO: Windows Live Sign-in Helper - {9030D464-4C02-4ABF-8ECC-5164760863C6} - C:\Program Files\Common Files\Microsoft Shared\Windows Live\WindowsLiveLogin.dll
O2 - BHO: Java(tm) Plug-In 2 SSV Helper - {DBC80044-A445-435b-BC74-9C25C1C588A9} - C:\Program Files\Java\jre6\bin\jp2ssv.dll
O2 - BHO: JQSIEStartDetectorImpl - {E7E6F031-17CE-4C07-BC86-EABFE594F69C} - C:\Program Files\Java\jre6\lib\deploy\jqs\ie\jqs_plugin.dll
O4 - HKLM\..\Run: [IAAnotif] C:\Program Files\Intel\Intel Matrix Storage Manager\iaanotif.exe
O4 - HKLM\..\Run: [RTHDCPL] RTHDCPL.EXE
O4 - HKLM\..\Run: [Alcmtr] ALCMTR.EXE
O4 - HKLM\..\Run: [IgfxTray] C:\WINDOWS\system32\igfxtray.exe
O4 - HKLM\..\Run: [HotKeysCmds] C:\WINDOWS\system32\hkcmd.exe
O4 - HKLM\..\Run: [Persistence] C:\WINDOWS\system32\igfxpers.exe
O4 - HKLM\..\Run: [SynTPEnh] C:\Program Files\Synaptics\SynTP\SynTPEnh.exe
O4 - HKLM\..\Run: [331BigDog] C:\Program Files\USB Camera\VM331_STI.EXE
O4 - HKLM\..\Run: [BluetoothAuthenticationAgent] rundll32.exe bthprops.cpl,,BluetoothAuthenticationAgent
O4 - HKLM\..\Run: [KeybdUtility] "C:\Program Files\LG Software\On Screen Display\HotKey.exe"
O4 - HKLM\..\Run: [zOSD] "C:\Program Files\LG Software\On Screen Display\HotKey.exe"
O4 - HKLM\..\Run: [IPO3] "C:\Program Files\LG Software\IP Operator\IP Operator.exe" -aUtOsTaRtFrOmReG
O4 - HKLM\..\Run: [UCam_Menu] "C:\Program Files\CyberLink\YouCam\MUITransfer\MUIStartMenu.exe" "C:\Program Files\CyberLink\YouCam" UpdateWithCreateOnce "Software\CyberLink\YouCam\2.0"
O4 - HKLM\..\Run: [LG Magnifier] "C:\Program Files\LG Software\LG Magnifier\MagnifyingGlass.exe"
O4 - HKLM\..\Run: [LG Intelligent Update] "C:\Program Files\lg_swupdate\autoupdate.exe" Gilautouc
O4 - HKLM\..\Run: [batterymiser] "C:\Program Files\LG Software\Battery Miser\batterymiser.exe"
O4 - HKLM\..\Run: [AVG8_TRAY] C:\PROGRA~1\AVG\AVG8\avgtray.exe
O4 - HKLM\..\Run: [avgnt] "D:\Program Files\Avira\AntiVir Desktop\avgnt.exe" /min
O4 - HKLM\..\Run: [SunJavaUpdateSched] "C:\Program Files\Java\jre6\bin\jusched.exe"
O4 - HKLM\..\Run: [Adobe Photo Downloader] "D:\Program Files\Adobe\Photoshop Album Starter Edition\3.2\Apps\apdproxy.exe"
O4 - HKLM\..\Run: [Adobe Reader Speed Launcher] "C:\Program Files\Adobe\Reader 9.0\Reader\Reader_sl.exe"
O4 - HKCU\..\Run: [SRSTrayApp] C:\Program Files\SRS Labs\WOWHD and TSXT Driver\SRSTrayApp.exe
O4 - HKCU\..\Run: [ctfmon.exe] C:\WINDOWS\system32\ctfmon.exe
O4 - HKCU\..\Run: [Google Update] "C:\Documents and Settings\Craig\Local Settings\Application Data\Google\Update\GoogleUpdate.exe" /c
O4 - HKCU\..\Run: [Sony Ericsson PC Suite] "D:\Program Files\Sony Ericsson\Sony Ericsson PC Suite\SEPCSuite.exe" /systray /nologon
O4 - Global Startup: Bluetooth.lnk = ?
O8 - Extra context menu item: Send to &Bluetooth Device... - D:\Program Files\WIDCOMM\Bluetooth Software\btsendto_ie_ctx.htm
O8 - Extra context menu item: Send To Bluetooth - D:\Program Files\WIDCOMM\Bluetooth Software\btsendto_ie.htm
O9 - Extra button: @btrez.dll,-4015 - {CCA281CA-C863-46ef-9331-5C8D4460577F} - D:\Program Files\WIDCOMM\Bluetooth Software\btsendto_ie.htm
O9 - Extra 'Tools' menuitem: @btrez.dll,-12650 - {CCA281CA-C863-46ef-9331-5C8D4460577F} - D:\Program Files\WIDCOMM\Bluetooth Software\btsendto_ie.htm
O9 - Extra button: (no name) - {e2e2dd38-d088-4134-82b7-f2ba38496583} - C:\WINDOWS\Network Diagnostic\xpnetdiag.exe
O9 - Extra 'Tools' menuitem: @xpsp3res.dll,-20001 - {e2e2dd38-d088-4134-82b7-f2ba38496583} - C:\WINDOWS\Network Diagnostic\xpnetdiag.exe
O9 - Extra button: Messenger - {FB5F1910-F110-11d2-BB9E-00C04F795683} - C:\Program Files\Messenger\msmsgs.exe
O9 - Extra 'Tools' menuitem: Windows Messenger - {FB5F1910-F110-11d2-BB9E-00C04F795683} - C:\Program Files\Messenger\msmsgs.exe
O16 - DPF: {2EDF75C0-5ABD-49f9-BAB6-220476A32034} (System Requirements Lab) - http://intel-drv-cdn.systemrequirementslab.com/multi/bin/sysreqlab_srlx.cab
O16 - DPF: {6E32070A-766D-4EE6-879C-DC1FA91D2FC3} (MUWebControl Class) - http://update.microsoft.com/microsoftupdate/v6/V5Controls/en/x86/client/muweb_site.cab?1252941902031
O16 - DPF: {E2883E8F-472F-4FB0-9522-AC9BF37916A7} - http://platformdl.adobe.com/NOS/getPlusPlus/1.6/gp.cab
O18 - Protocol: linkscanner - {F274614C-63F8-47D5-A4D1-FBDDE494F8D1} - C:\Program Files\AVG\AVG8\avgpp.dll
O20 - Winlogon Notify: avgrsstarter - C:\WINDOWS\SYSTEM32\avgrsstx.dll
O23 - Service: Avira AntiVir Scheduler (AntiVirSchedulerService) - Avira GmbH - D:\Program Files\Avira\AntiVir Desktop\sched.exe
O23 - Service: Avira AntiVir Guard (AntiVirService) - Avira GmbH - D:\Program Files\Avira\AntiVir Desktop\avguard.exe
O23 - Service: AVG Free8 E-mail Scanner (avg8emc) - AVG Technologies CZ, s.r.o. - C:\PROGRA~1\AVG\AVG8\avgemc.exe
O23 - Service: AVG Free8 WatchDog (avg8wd) - AVG Technologies CZ, s.r.o. - C:\PROGRA~1\AVG\AVG8\avgwdsvc.exe
O23 - Service: Bluetooth Service (btwdins) - Broadcom Corporation. - D:\Program Files\WIDCOMM\Bluetooth Software\bin\btwdins.exe
O23 - Service: DeviceVM Meta Data Export Service (DvmMDES) - DeviceVM - C:\SPLASH.SYS\config\DVMExportService.exe
O23 - Service: Intel(R) Matrix Storage Event Monitor (IAANTMON) - Intel Corporation - C:\Program Files\Intel\Intel Matrix Storage Manager\IAANTMon.exe
O23 - Service: Sony Ericsson OMSI download service (OMSI download service) - Unknown owner - D:\Program Files\Sony Ericsson\Sony Ericsson PC Suite\SupServ.exe
O23 - Service: SRS PostInstaller Service (SRS_PostInstaller) - SRS Labs, Inc. - C:\Program Files\SRS Labs\WOWHD and TSXT Driver\SRS_PostInstaller.exe

--
End of file - 8449 bytes

Hello.

You are running two antivirus', I see from the uninstall list you have Avira installed, along with AVG. This is a bad idea as they can conflict and cause more problems. I would recommend that you remove AVG to avoid conflict and other future problems.

Go to Start > Control Panel > Add/Remove Programs and remove the following programs.

AVG 8 Free

Please download and run this tool.

Download Malwarebytes' Anti-Malware from Here

Double Click mbam-setup.exe to install the application.

• Make sure a checkmark is placed next to Update Malwarebytes' Anti-Malware and Launch Malwarebytes' Anti-Malware, then click Finish.
  
• If an update is found, it will download and install the latest version.
  
• Once the program has loaded, select "Perform Quick Scan", then click Scan.
  
• The scan may take some time to finish,so please be patient.
  
• When the scan is complete, click OK, then Show Results to view the results.
  
• Make sure that everything is checked, and click Remove Selected.
  
• When disinfection is completed, a log will open in Notepad and you may be prompted to Restart. (See Note)
  
• The log is automatically saved by MBAM and can be viewed by clicking the Logs tab in MBAM.
  

Note:
If MBAM encounters a file that is difficult to remove, you will be presented with 1 of 2 prompts.
Click OK to either and let MBAM proceed with the disinfection process.
If asked to restart the computer, please do so immediately.

Post the contents of the MBAM Log.