let me discribe the problem first
when i click any icon let it be a application or a shortcut

http://images.thetechguide.com/forum/public/style_emoticons/<#EMO_DIR#>/sad.gif\' class=\'bbc_emoticon\' alt=\'

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the open with dialogue box opens and i have to choose the correct target their to start the application
and none of the commands are working in the run option neither Regedit,nor msconfig and not even cmd i cannot even use ping command

http://images.thetechguide.com/forum/public/style_emoticons/<#EMO_DIR#>/mad.gif\' class=\'bbc_emoticon\' alt=\':angry:\' />
ok now my Hijack log is
Logfile of Trend Micro HijackThis v2.0.2
Scan saved at 5:27:14 AM, on 6/24/2008
Platform: Windows XP SP2 (WinNT 5.01.2600)
MSIE: Internet Explorer v7.00 (7.00.5730.0013)
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:\Program Files\Ahead\InCD\InCDsrv.exe
C:\WINDOWS\system32\spoolsv.exe
C:\PROGRA~1\Grisoft\AVGFRE~1\avgamsvr.exe
C:\PROGRA~1\Grisoft\AVGFRE~1\avgupsvc.exe
C:\WINDOWS\system32\inetsrv\inetinfo.exe
C:\Program Files\Common Files\Microsoft Shared\VS7DEBUG\MDM.EXE
C:\WINDOWS\system32\HPZipm12.exe
C:\WINDOWS\System32\snmp.exe
C:\WINDOWS\system32\svchost.exe
C:\Program Files\Viewpoint\Common\ViewpointService.exe
C:\Program Files\Common Files\System\MSSearch\Bin\mssearch.exe
C:\Program Files\Grisoft\AVG Free\avgcc.exe
C:\Program Files\Sify Broadband\BBClient.exe
C:\Program Files\Sify Broadband\BBImpSec.exe
C:\Program Files\Internet Explorer\IEXPLORE.EXE
C:\WINDOWS\system32\rundll32.exe
C:\Program Files\Samsung\Samsung PC Studio 3\ConMgr.exe
C:\Program Files\Samsung\Samsung PC Studio 3\Launcher.exe
C:\WINDOWS\explorer.exe
C:\Program Files\Yahoo!\Messenger\YahooMessenger.exe
C:\PROGRA~1\NETSCAPE\NAVIGA~1\NAVIGA~1.EXE
C:\WINDOWS\system32\NOTEPAD.EXE
C:\Documents and Settings\nilesh\Desktop\HijackThis.exe
R0 - HKCU\Software\Microsoft\Internet Explorer\Main,Start Page = about:blank
R0 - HKLM\Software\Microsoft\Internet Explorer\Main,Start Page = about:blank
R1 - HKCU\Software\Microsoft\Windows\CurrentVersion\Internet Settings,ProxyOverride = localhost
O3 - Toolbar: (no name) - {12F02779-6D88-4958-8AD3-83C12D86ADC7} - (no file)
O4 - HKLM\..\Run: [Cmaudio] RunDll32 cmicnfg.cpl,CMICtrlWnd
O4 - HKLM\..\Run: [IgfxTray] C:\WINDOWS\system32\igfxtray.exe
O4 - HKLM\..\Run: [HotKeysCmds] C:\WINDOWS\system32\hkcmd.exe
O4 - HKLM\..\Run: [InCD] C:\Program Files\Ahead\InCD\InCD.exe
O4 - HKLM\..\Run: [AVG7_CC] C:\PROGRA~1\Grisoft\AVGFRE~1\avgcc.exe /STARTUP
O4 - HKLM\..\Run: [QuickTime Task] "C:\Program Files\QuickTime\qttask.exe" -atboottime
O4 - HKLM\..\Run: [soundmix] C:\WINDOWS\system32\soundmix.exe
O4 - HKLM\..\Run: [BMd3e77a3d] Rundll32.exe "C:\WINDOWS\system32\htvscphe.dll",s
O4 - HKLM\..\Run: [d0d449a1] rundll32.exe "C:\WINDOWS\system32\ysgklomu.dll",b
O4 - HKCU\..\Run: [SifyBB] C:\Program Files\Sify Broadband\BBImpSec.exe
O4 - HKUS\S-1-5-19\..\Run: [AVG7_Run] C:\PROGRA~1\Grisoft\AVGFRE~1\avgw.exe /RUNONCE (User 'LOCAL SERVICE')
O4 - HKUS\S-1-5-20\..\Run: [AVG7_Run] C:\PROGRA~1\Grisoft\AVGFRE~1\avgw.exe /RUNONCE (User 'NETWORK SERVICE')
O4 - HKUS\S-1-5-18\..\Run: [AVG7_Run] C:\PROGRA~1\Grisoft\AVGFRE~1\avgw.exe /RUNONCE (User 'SYSTEM')
O4 - HKUS\S-1-5-18\..\RunOnce: [RunNarrator] Narrator.exe (User 'SYSTEM')
O4 - HKUS\.DEFAULT\..\Run: [AVG7_Run] C:\PROGRA~1\Grisoft\AVGFRE~1\avgw.exe /RUNONCE (User 'Default user')
O4 - HKUS\.DEFAULT\..\RunOnce: [RunNarrator] Narrator.exe (User 'Default user')
O4 - Startup: Webshots.lnk = C:\Program Files\Webshots\Launcher.exe
O4 - Global Startup: Logitech SetPoint.lnk = C:\Program Files\Logitech\SetPoint\KEM.exe
O8 - Extra context menu item: E&xport to Microsoft Excel - res://C:\PROGRA~1\MICROS~2\Office12\EXCEL.EXE/3000
O9 - Extra button: (no name) - {08B0E5C0-4FCB-11CF-AAA5-00401C608501} - C:\Program Files\Java\jre1.6.0_01\bin\ssv.dll
O9 - Extra 'Tools' menuitem: Sun Java Console - {08B0E5C0-4FCB-11CF-AAA5-00401C608501} - C:\Program Files\Java\jre1.6.0_01\bin\ssv.dll
O9 - Extra button: Send to OneNote - {2670000A-7350-4f3c-8081-5663EE0C6C49} - C:\PROGRA~1\MICROS~2\Office12\ONBttnIE.dll
O9 - Extra 'Tools' menuitem: S&end to OneNote - {2670000A-7350-4f3c-8081-5663EE0C6C49} - C:\PROGRA~1\MICROS~2\Office12\ONBttnIE.dll
O9 - Extra button: Research - {92780B25-18CC-41C8-B9BE-3C9C571A8263} - C:\PROGRA~1\MICROS~2\Office12\REFIEBAR.DLL
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
O10 - Unknown file in Winsock LSP: c:\windows\system32\nwprovau.dll
O16 - DPF: {6414512B-B978-451D-A0D8-FCFDF33E833C} (WUWebControl Class) -
http://www.update.microsoft.com/windowsupd...b?1205050246296O16 - DPF: {814EA0DA-E0D9-4AA4-833C-A1A6D38E79E9} (DASWebDownload Class) -
http://das.microsoft.com/activate/cab/x86/...tail/DASAct.cabO17 - HKLM\System\CCS\Services\Tcpip\..\{31532F29-423D-4DED-8251-8679C202A896}: NameServer = 202.144.115.4,202.144.66.6
O18 - Protocol: grooveLocalGWS - {88FED34C-F0CA-4636-A375-3CB6248B04CD} - C:\PROGRA~1\MICROS~2\Office12\GR99D3~1.DLL
O23 - Service: Ares Chatroom server (AresChatServer) - Ares Development Group - C:\Program Files\Ares\chatServer.exe
O23 - Service: AVG7 Alert Manager Server (Avg7Alrt) - GRISOFT, s.r.o. - C:\PROGRA~1\Grisoft\AVGFRE~1\avgamsvr.exe
O23 - Service: AVG7 Update Service (Avg7UpdSvc) - GRISOFT, s.r.o. - C:\PROGRA~1\Grisoft\AVGFRE~1\avgupsvc.exe
O23 - Service: InCD Helper (InCDsrv) - Nero AG - C:\Program Files\Ahead\InCD\InCDsrv.exe
O23 - Service: Pml Driver HPZ12 - HP - C:\WINDOWS\system32\HPZipm12.exe
O23 - Service: ServiceLayer - Nokia. - C:\Program Files\Common Files\PCSuite\Services\ServiceLayer.exe
O23 - Service: Viewpoint Manager Service - Viewpoint Corporation - C:\Program Files\Viewpoint\Common\ViewpointService.exe