My brother just got his computer but already there is a problem. It said he had a virus and now when he starts up he gets an error window saying that the WININIT.dll file is missing, then it goes to the blue screen of death with the following message:

A fatal error in IE has occurred at 0028:C0011E36 in VXD VMM(01)00010E36. Error was caused by Trojan-Spy.HTML. Smitfraud.c
I can't seem to get out of that screen, but I can still hit CTRL+ALT+DEL and go to the task manager. We have the recovery disc but since this seems to be a problem with IE and not windows I figured there must be a better solution than reinstalling the whole thing.

Bear in mind that we know nothing about this stuff. Thanks for any help.