First, I'm not quite sure what you mean by your computer was struck. But, from reading your explanations, it does appear to be a bad hard drive. But, before buying a new one, download the bootable version of your hard drive manufacturer's diagnostic
program and run the extended test. If it is working at all you can normally get some if not all your data off with a live Linux distro like you did, and if Windows can see the drive, you can copy/paste from the recovery console.
If your drive works at all you can also try a recovery program like Recuva
You can also clean, format a hard drive during windows installation to resolve your other problem. SSD / HDD : Optimize for Windows Reinstallation
This method will work even if you cancel out and do not install Windows, but I suspect you may have startup issues with Windows and Linux installed together. This may help with that issue. MBR - Restore Windows 7 Master Boot Record