I had an upgrade disk for Windows 7 so did the upgrade and chose the option to install to a new directory which puts the old Vista directory under Win.old. After the installation and reinstalling Microsoft Security Essentials, it showed up again, but the partition of infection was also displayed. In my case it was partition 3 of 1GB size. As a last ditch effort before reformatting the drive or replacing it, I deleted the indicated partition, reran MSE and it indicated no infection. This requires accessing the disk manager located by right clicking Computer in the Start Menu, then choosing Manage, then disk management. If MSE indicated the infected partition and it is not the boot partition, you also may be able to remove it (it was created by the trojan).
Edited by hamluis, 17 April 2012 - 09:59 AM.
Moved from Win 7 to AV, Firewall, etc.