Windows Update "Wont Run" even after reboots

Ive read numerous threads on here with this problem, but none seem to be quite as bad as mine.

My PC sat (off) for about 3 weeks (Due to moving, and not having internet yet), I fired it up today, and went to update it and the message:

"Windows Update cannot currently check for updates, because the service is not running. You may need to restart your computer."

Ive tried going into that "services" window to restart/make sure the "Windows Update" is running, but its not even on that list!

Thanks for the tips guys, just ran that MalwareBytes program in safe mode, and it found one thread, that I deleted. (Log was saved before this, thats why it says no action taken)

Code:

 
Malwarebytes Anti-Malware (Trial) 1.65.0.1400
www.malwarebytes.org
Database version: v2012.10.16.11
Windows 7 Service Pack 1 x64 NTFS (Safe Mode/Networking)
Internet Explorer 9.0.8112.16421
(Name Removed):: SLIMLINE [administrator]
Protection: Disabled
10/16/2012 1:50:59 PM
mbam-log-2012-10-16 (13-55-26).txt
Scan type: Quick scan
Scan options enabled: Memory | Startup | Registry | File System | Heuristics/Extra | Heuristics/Shuriken | PUP | PUM
Scan options disabled: P2P
Objects scanned: 198820
Time elapsed: 4 minute(s), 9 second(s)
Memory Processes Detected: 0
(No malicious items detected)
Memory Modules Detected: 0
(No malicious items detected)
Registry Keys Detected: 0
(No malicious items detected)
Registry Values Detected: 0
(No malicious items detected)
Registry Data Items Detected: 0
(No malicious items detected)
Folders Detected: 0
(No malicious items detected)
Files Detected: 1
C:\Users\(Name Removed)\AppData\Local\Temp\lpom.exe (PUP.Adware.Agent) -> No action taken.
(end)

Now trying your suggestions, Brink.

Awesome! Guess whos updating !

Thanks a ton guys! Any suggestions on what the best Anti-Virus/Malware program out there is thats free, or relitively cheap?