Unsual freeze at start up

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Hello,

Well, after I changed a local security policy on my Windows XP Professional. "Classic: Local users authenticate as themselves". I am not able to start up windows again. The loading screen finishes but it never gets to the log on screen. I've managed to change the setting back to back to its original state using PC Regedit boot cd, and I was able to log into windows after about 20 mins of boot up time. I still cannot load into Safe Mode. And using Last Known Configuration does not change anything. Is there any diagnostics that I could do to see the core of the problem? Thanks
 
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