Active desktop error

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I'm having trouble changing the background wallpaper. I'll try to describe exactly what occurred.

There was a program that me tricked to run it, it popped up in Zonealarm. I forgot the name but it was supposed to be a scanner which I thought was from AVG. It then ran another program that with the title "Keyboard Logger". I immediately denied it. This lead to my troubles. First, I couldn't log on to the internet, the connection kept on renewing itself. I tried releasing & renewing the ip with the command but it wouldn't do anything. Second, I got the active desktop error. I ran spybot several times it did detected some malware and continued to delete them. Spybot had trouble loading under normal settings as well in safemode. I also ran AVG which also detected trojans and deleted them. I ran superantispyware got error messages, rebooted into safemode, scanned found some trojans and deleted them. My wallpaper still does not function.

I wasn't able to log on to the internet when I noticed that superantispyware informed me to check my firewall. In Zonealarm I disabled startup of the true vector, rebooted, and successfully had internet connection. I decided to remove zonealarm and replace it COMODO. I've had several problems with zonealarm anyways so it was no biggy. After some reading I also removed AVG and replaced it with Avira. When I ran Avira it detected two files from spybot. I went ahead and deleted them as well.

To try & fix my background wall paper I ran a batch from myfixes.com to clear the policy in the registry. That however, erased the policy folder but still no fix. I noticed superantispyware has a repair for system settings and used to reset windows wallpaper & reset desktop settings. I don't have the active desktop error screen anymore but when I click on properties it still does not let me edit the wallpaper.

Finally, I tried a clean reboot and scanned my system and I'm attaching these three logs. Please help and enjoy. Thanks!
 
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