Cannot install windows from disk....NEED HELP URGENTLY!!

[novice-boy]

Hi guys... I have a laptop with windows xp home edition (sp3) on it.... because it had a virus attack lately i tried to re-install win xp home edition (sp2) back on it. but when i got to the partition stage i found out that the down arrow key didnt work and that I could not partition it. I quit the set up and when i found an alternate way to navigate I tried again and when i did I never could get the disk to boot. I tried other versions of xp and also an ubuntu disk but they couldn't boot either. I also tried USB booting xp and ubuntu (because i thought that that my disk drive was malfunctioning).. Then i tried another USB boot software called 'WintoFlash' and it somehow managed to get my previous version of xp up and running (well not fully functional though). But when i try to boot the laptop without the usb it doesnt work at all. The message on the screen when i try to boot windows from the HDD is:

"Windows could not start because the following file is missing or corrupt:

<Windows root>\system32\hal.dll
Please re-install a copy of the above file"

Friends have suggested all sorts of methods to reverse this:

A - the bootloader's corrupt. (for this i tried replacing the whole i386 folder from another windows disk but the computer stayed the same)
B - try USB booting (done but unsucesssful )


I need the computer soon for a project. Please help me, people!

[thetechfreak]

Why dont you install Windows 7 on it? It doesnt need a down arrow to format .
There is no way to format a Windows machine without actually formatting it(I mean without going through format stages)
Copying a i386 folder directly WONT help

[mithun_mrg]

Please post the error message ur getting while booting from a XP CD try using a different Xp/other OS Cd also ur Cd Drive may have problem if possible try a usb CD Drive also for Down arrow u can use a USB keyboard

[gameranand]

You down arrow don't work??? Is that your keyboard problem or setup problem????
Have you configured your BIOS to take the first Boot device as CD Drive in case for CD and USB in case of USB boot ???

A piece of advice. Don't put Urgently in the title it actually distract posters rather than attracting.