You have been infected.... lsasse.exe is a known attack vector, I'm afraid.
The discussion here:
http://forums.techguy.org/
is a good overview. Basically, if you cannot even boot into SAFE mode, then you will need to do a system restore, or possibly even reinstall windows. See MS article at the link below. The key points are also below.
http://support.microsoft.c
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by: johnb6767Posted on 2009-01-21 at 20:36:55ID: 23436533
Is the exact error
"lsasse.exe" or " lsass.exe" <~~Note hte lack of the last e in the filename on the seocnd one....
" lsass.exe" is a critical system file/system process
" lsasse.exe" "is probably a virus......