Internet Explorer "contained a file and was deleted"

I am investigating a number of occurrences where a User receives "contained a virus and was deleted" when using Internet Explorer 10, but when I downgrade to IE8 no issues.

The file looks to complete but then "Security Scan" runs and receive this message.

I have tested:
Logging on as another User on computer but same issue
Running multiple virus and malware scans
Disabled all Startup items

Computers run Trend Micro Worry-Free Business Security.

I have seen a lot of posts about AVG causing an issue or perhaps various regkeys but nothing matches.

Please help - answer can not be to use another browser as we have applications that rely on IE.
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FlippAsked:
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Andrej PirmanConnect With a Mentor Commented:
Might be the broken Windows Defender, which *should* scan the file, but is damaged, so it cannot scan and IE 10 spits out the warning.
You might uninstall Windows Defender, or try this solution: http://answers.microsoft.com/en-us/ie/forum/ie10-windows_7/every-download-ends-with-message-file-xxx/364735ab-a76e-4580-af54-2849602e8ff2?msgId=3953c148-9bdb-4159-804a-716829a896c7
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FlippAuthor Commented:
Thanks Labsy. So I checked out Windows Defender and when searching for it, it shows it in the list of files but no icon (os castle) or service present?? So therefore I am unable to open Windows Defender to disable .... any ideas?
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FlippAuthor Commented:
Just ran a sfc and unable to complete ... checked /cbs/cbs.log and there is mention of Windows Defender.
For now customer is ok with IE10 not being used, and has Firefox/Chrome as backup but will use IE8 in mean time.
If anyone has a more permanent solution a part from re-image I would love to hear about it :)
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Andrej PirmanConnect With a Mentor Commented:
Here's one possible solution from above mentioned thread - how to repair broken Windows Defender (if you have one WORKING machine with Windows Defender):

Since Microsoft has no way available of reinstalling Windows Defender, the solution I found was this:

    From a working Windows 7 machine, Zip up the "Windows Defender" folder from "C:\Program Files\" to be "Windows-Defender.zip"
    Also Zip up the "Windows Defender" folder from "C:\Program Files (x86)\" to be "Windows-Defender-x86.zip" (if using 64-bit windows)
    On the broken Windows 7 machine, open Windows Explorer as administrator, and rename the "Windows Defender" folder in each of the directories to something like "Windows Defender.bak" (do this in both C:\Program Files\ and C:\Program Files (x86))
    Copy the .zip file(s) you made above on to the broken machine, and unzip them into their appropriate locations:
    Unzip "Windows-Defender.zip" to "C:\Program Files\"
    Unzip "Windows-Defender-x86.zip" to "C:\Program Files (x86)\" (if using 64 bit windows)

At this point, visiting the control panel again, revealed a working Windows Defender icon.  Also, downloading files through Internet Explorer started working again.
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FlippAuthor Commented:
GENIUS!

This resolved the issue with Windows Defender and IE10.
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Andrej PirmanCommented:
Me glad to see you happy :)
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FlippAuthor Commented:
It is also worth mentioning that the original cause of Windows Defender becoming corrupt was a series of Trojans which were cleaned using Trend Micro, but left system in this state.
At the time the User was experiencing the issue with downloading files across all browsers.
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