I have to go to be here in a few minutes, so here is my take on your scenario: you need to do a complete reinstallation, and get it right this time. To do so,
1) remove any wireless cards or dongles, and unplug any network cables. The computer must remain isolated from networks so it cannot be attacked by network worms when its defenses are down.
2) start Windows Setup from the Windows CD. Get to where it shows the hard drive partitions, and delete them all, then
press the F3 key twice to EXIT from Windows Setup. Now begin Windows Setup a second time, and this time follow through.
3) absolutely do not connect the network cable, or connect to a wireless network.
4) I'm going to assume a WindowsXP setup here. You need to use a different computer to download & burn the full
Service Pack 2 installation file to a CD so you can patch your vulnerable WinXP computer while it's in an isolated state. When Service Pack 2 is installed, it fixes the worst of the wormholes and also enables the Windows Firewall to shield the remaining ones until you can get it patched. Enable the Automatic Updates when you see the prompt.
5) Once the system has Service Pack 2 and its Windows Firewall, you can connect the computer to a network and go online. Immediately go to Windows Update to patch the remaining vulnerabilities. If you have Office Software, install it and go to the Office Update site to patch Office vulnerabilities, and visit again until the system comes up completely patched.
6) Also install some antivirus software, here's a good free one:
AOL Kaspersky. Skip the optional "security toolbar" during installation. Configure it
like this (screencapture movie narrated by myself).
7) Especially if your mate likes teh pr0n, you should set up the computer so that no one is routinely using a Computer Administrator-class account. Make three user accounts,
Admin,
your account's name, and
Visitors. Make the Visitors account a
Limited account. Make your account a Limited account too, so if he sneaks onto it while your back is turned, he still lacks the power to do harm.
Password-protect the Admin account, and don't use it except in instances where you really need Admin-level power for something. This is a huge deterrent to viruses, Trojans and spyware, with or without cooperation from your mate and his friends. It'll keep unwanted software off your computer too. You may also wish to password-protect your own account for privacy reasons.
If you have Windows2000 instead of WinXP, then you will want a third-party firewall such as
basic free ZoneAlarm pre-downloaded on a CD, along with the antivirus software and
Service Pack 4 ,
Update Rollup 1, and
Microsoft Baseline Security Analyzer 1.2.1. Even with SP4 and UR1, Windows2000 is still in peril of being subverted by network worms if it doesn't have a firewall up from the moment you plug the network cable into it, so make SURE you have the firewall up BEFORE the network gets connected!!
Windows2000 can also do the equivalent of the Limited user accounts, they're called Restricted User accounts. See Control Panel > Users & Passwords and LMK if you have questions. MBSA 1.2.1 can find missing security patches in your Office2000 software if you have any; this ability is not found in MBSA 2.01, so you may want to start with MBSA 1.2.1 and then install 2.01 as a secondary.
When you run MBSA 1.2.1, do address the Restrict Anonymous and weak/blank password issues if it dings you for them. With either Win2000 or WinXP, it is also smart to have a router as a perimeter firewall if you have a broadband connection.
Ok, that's it for me, it's 3AM here :moon: