Did it boot up to Windows 7. It seems like it must have since you said IE was on there and that you could open the star menu but it was blank. when you turned it on but how did you run a virus scan? Was Windows defender on? Was an antivirus program running at the time?

There must be a c drive recognized by the computer to boot to windows. I would run systerm restore if you can in safe mode
Or if you have the windows 7 Setup disk run that in CDRom and try to restore it.

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