Security Tool fake virus alert

I've been running into this issue a lot lately. All home users. The fake security tool virus alert
I've cleaned 6 PCs and had to reformat 1 of them within the last week or so. Here is what I've done and sometimes it works and sometimes I just back up and reformat/resotore to mfg instead of spending more time trying to remove.
-add & remove programs
-clear I.E. history, ccokies, temps
-run prefetch
-run %temp% delete all
-install and run ccleaner
-Run full scan with there up to date antivirus
If antivirus is broken
-I install and run Malwarebytes twice, once in safe mode
-fix/reinstall there antivirus and run full scan
If antivirus is still broken I also run superantispyware twice, once in safemode
-fix/reinstall there antivirus and run full scan
If it's still finding fake antivirus or cannot get their antivirus to run properly I reformat and reinstall O.S. and apps or restore to factory defaults

For those of you that have worked on this issue what has worked for you???
any suggestions would be appricated.
Thanks
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jsarinanaI.T. ManagerAsked:
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splaitCommented:
There are a large number of threads on this site about this malicious software.  Most problems have been solved using MalwareBytes and ComboFix.  Often, the MalwareBytes installer has to be downloaded from another PC and renamed before it can be installed and used in Safe Mode on the infected PC.

Should you decide to look through the site for some of those threads, look for the handle "optoma".  He is the resident expert (in my opinion) on this issue.
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Mike_CarrollCommented:
Download and run rkill from here http://download.bleepingcomputer.com/grinler/rkill.exe

Do NOT restart the PC

Download MBAM free edition here http://www.malwarebytes.org

Install, update and scan with it. Follow any instructions you may receive.

Problem solved!
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optomaCommented:
Download process explorer and before running it rename procexp.exe to winlogon.exe.
Run it and right click and suspend the random processess with "funny" names(62629429.exe) and (_.ex08.exe)> which has a blue shield icon beside them

Once suspended  scan with Malwarebytes(as mentioned)
http://www.malwarebytes.org/mbam-download.php

In the case where symptoms are still unresolved("a reformat") a further step maybe required>>Combofix

If running Combofix:
Read + follow Combofix's proceedures carefully and attach its logfile here after

http://www.bleepingcomputer.com/combofix/how-to-use-combofix
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DataVaultCommented:
Ive Run into this myself the past month, alot, and so far combofix has removed a bulk of the infection , then i ran , Rogueremovefree, and them Mbytes. and its good as new
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jsarinanaI.T. ManagerAuthor Commented:
Thanks
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ForLoop5Commented:
That Rkill works great.  If it does not kill the program on first run then just run it 2 or 3 times real quick. Then it will close the program.
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jsarinanaI.T. ManagerAuthor Commented:
OK, had a chance to clean 5 other PCs 4 XP and 1 Vista.
In all cases the end user had called me within a few minutes of getting infected so only one had rebooted.
Here is what I found that works:
unplug from connection
install from a USB stick latest version of Malwarebytes mbam-setup.exe file renamed
Then run cleanmgr
Reboot into Safe Mode, run malwarebytes again
Reboot normal, open I.E. delete all history, cookies
Check add and removel programs, nothing found
Run MSConfig->Start-Up (only in one case did I find some strange items, unchecked), run Combofix
Combofix removed more infections this I had to do on this one PC
Remove all Microsoft restore points
Do a Windows update of all critical updates

In all cases the antivirus started working again and in all cases I notice thier Windows critical updates were behind
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