http://www.liutilities.com/products/wintaskspro/dlllibrary/2ndsrch/ It's part of a piece of spyware. I'd recommend running Spybot and/or Adaware to get rid of the rest of the offending application.
No, you don't need it. Infact, you are better off without. When do you get the error message? Is it a pop-up box when Windows loads or black and white text during bootup?
Spybot S&D 1.3 would remove the problems associated with this file, and I believe adaware's newest update does as well. A virus scanner, such as AVG/NAV/Kapersky or TrendMicrosystem's online Housecall would be advised as well, as always.