This sounds terrible. If and when I get a chance, I'm going to run Spyware Doctor & Avast! Antivirus and see if I might've caught this virus unknowingly. My computer runs slow, but I've always blamed it on the many programs I have running in regular mode (Registry Mechanic, for one).

It may take 1/2 hour or so but have a look. This thing somehow accesses a cached list of things that you have searched for recently. You will find a folder that (if you are not truly intimate with your explorer pane) appears as though it could be associated with LW. It will have hundreds (perhaps more/less) of files that you recognize leading you to say "...hey, I did get those!" just waiting for a double click or two. DON'T!!! Look closer and they will all be the same size. Like 765 or 785kb. The upside is that I think you can simply send them to the recycle bin (which you should empty right away) and be done with it .....probably maybe. Always safe to do 2 scans with a slightly differing purpose. Like an ad ware scanner and a virus scanner. Psst...all I know.

Happyvav one thing you could do is open goto start->run and type "regedit" without the quotes. From there click on the plus sign next to HKEY_CURRENT_USER then Software then Microsoft then Windows then CurrentVersion then Run. Look around and see if there is anything strange there, such as a key with some strange file path. If so delete it and do the same for HKEY_LOCAL_MACHINE. Make sure you delete the virus also and clean your box. This step above will prevent the virus to reinstall itself at boot.

Right my twopennies worth, having spent many months on the Tech Support Guy forums here http://forums.techguy.org/54-security/ my conclusion is, please do not be misled by all the hype surrounding the well known virus cleaners security or any other "well known" anti this or that, go to http://www.grisoft.com/doc/40/lng/ww and download AVG anti-virus, or better still go to download.com and get AVG anti-virus and AVG anti-spyware, both are free and are kept up to date. The problem with Mcafee, Norton, and all the other mainstream tools is they are nowhere near as up to date as AVG and all the lesser known ones.
Go here http://www.javacoolsoftware.com/spywareblaster.html and download spywareblaster, it will protect you by blocking installations of all activeX that spy/adaware use, another great free tool is Ccleaner here http://www.ccleaner.com/download/ it removes all your internet traces when closing your browser and keeps the registry clean.
Another must have is HijackThis which is an instant scanner and is handy when you need help, it instantly logs what is going on in your computer, DO NOT use HijackThis for anything more than preparing logs for "experts" to view unless you know what you are doing!