Windows 7 Recovery - (Bootrec.exe 0 Windows Installations found)

You ran it 3 separate times with reboots in between each?

If so then move the Active flag to Win7, run Startup Repair - Run up to 3 Separate Times to try the next step.

I noticed another peculiar thing - before moving the Active flag to Windows 7. When on the fourth time I restarted after doing the Startup Repair and loaded the Windows 7 Recovery Console - where you have to select your Windows installations. At first I was able to view only one Windows Installations i.e is Windows 7 but this time I saw - Windows 7 Recovered. And for some strange reason I put in my Windows XP Repair CD and when I booted from there - I was shown the Windows Boot Manager and from there - I was able to load Windows 7. So is there any way I could make the windows boot manager permanent.? Instead of putting in the Windows XP CD every time to get the Windows 7 Boot manager - The main thing is at least I was able to boot into Windows 7.

And Yes I ran Startup Repair 3 times with Restarts in between.

Were you given a Boot Menu that included XP since you had the Active flag on XP partition? Would it start?

When you moved the Active flag to Win7 to run 3x Repairs with reboots, did you unplug all other HD's making sure Win7 HD was set first to boot in BIOS setup? If not try that now.

If this fails, use Copy & Paste - in Windows Recovery Console to browse into the XP partition and copy the Windows 7 boot files boot, bootmgr and bootsect.bak to Windows 7 partition to run the Repairs again making sure the Active flag remains on Windows 7 partition.

If Win7 won't start after moving the Active flag to its partition and running 3x repairs with reboots, then plug back in the XP HD, move the Active flag back to XP and pick up after Step 6 in in Dual Boot Installation with Windows 7 and XP - Windows 7 Help Forums to see if you can start Win7 to add XP to the Dual Boot.