no, never had the experience.
are you totally and utterly sure that you can't find the system32 folder? i don't think a computer would even run without system32. whatever happened, it must've either moved or hidden the folder. i'm not really sure what happened but if the p2pnetwork file is on your computer from kazaa, i strongly recommend that you stop using kazaa. use something decent like "LimeWire" or "Ares", which have no ads and are a lot faster in my opinion. good luck with the problems.