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Dreese.exe, Dopper.Win32? Cannot install Antivirus

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We recently bought the Microsoft Action Pack. I instaleld Win XP SP1 on the first PC. I then installed Office XP. It all worked fine, so I Activated all products. Then, I went to Microsoft to run all updates. After it downloaded all updates available, it started isntalling them. On number 2 of 20, the computer stopped transmission from Microsoft, the progress bar stopped. I could open another window, but couldn't go to another website. However, the transmission indicator said there was traffic, lots of it.

The entire computer froze. I called teh Task Manager, it won't come up. It finally did after several minutes but hte PC won't respond to End Task requests. Frustrated, I did a cold shut down of the computer (pulled the plug).

When back in and connected to the internet, the browser jumped from Windows update site that I opened, to something called www.knu-konceptz.com/free.html and a webpage that read "Installing Windows Updates". For a second I fell for it. Then I figured out it may be malware so I closed the window. On the background, there was a window opened, it was Winrar trying to unrar and install several files, of which I only wrote down two: Dreese.exe and Babes.dat.

Everytime I open IE6 it tries to unrar the same files from this Knu-Konceptz website, and traffic stops, so I can't do an online scan!

I tried to install Norton Antivirus but the Setup.exe won't start. Ad Aware finds and cleans 7 objects from MediaTickets, but as soon as I go in IE6 it starts all over.

I will post more information if needed. Anyway of cleaning this up? I don't want to reformat and reinstall since I've already activate the product.

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