I think it is a false positive.
CWS C:\Program Files\MicrosoftAntiSpyware\gcThreatAuditSettingsData.gcd
In particular the file path seems to lead to a data file, not an executable one.
I've found that individual anti-spyware programs will turn up findings that you should
(as you have done) question, at least initially and thereafter depending on what you learn about the program. Basically there is value in the false positives, to a degree. At least you know the program works, and if it is not a known "rogue" program designed to deceive you, (and Pest Patrol is not, to my understanding, one of those) it simply means that in the changing environment of malware detection, overlapping techniques can turn up some odd results. All the more reason to maintain a varietal approach to anti-spyware scanning.
Oh, and hold off on actions like reformating based on indidivual findings that are in conflict with other known good programs.
Posting here is also a good method of saving yourself some grief.