Unable to make a new folder

Lets do some more scanning with Malwarebytes . See what it finds .

Look at the suggestions given in this thread, they may help.

Creating a new folder

You`ve already ran a system file check, correct ?

Did you delete that adware ?

The link for the system file checker is under Jeff Gordon`s race car, you don`t need anything to run it.

What does running startup repair have to do with making a new folder, did you run a system file check yet ?

SFC /SCANNOW Command - System File Checker

The DDS log shows that you are running two Anti-virus programs ...
AVG and Kaspersky PURE 3.0. Uninstall one of them.
Comprehensive List of Uninstallers or Removal Tools for Antivirus Software

Next, download TFC by Old Timer TFC - Temp File Cleaner by OldTimer - Geeks to Go Forums and save it to your desktop.
Save any unsaved work. TFC will close ALL open programs including your browser!
Double-click on TFC.exe to run it. If you are using Vista/Windows 7 right-click on the file and choose Run As Administrator.
Click the Start button to begin the cleaning process and let it run uninterrupted to completion.
Important! If TFC prompts you to reboot, please do so immediately. If not prompted, manually reboot the machine anyway to ensure a complete clean.

After rebooting, let's remove the infection:

Download Combofix from any of the links below, and save it to your desktop.<--Important
Link 1
Link 2
Link 3

Click on this link Here to see a list of programs that should be disabled.
The list is not all inclusive. If yours is not listed and you don't know how to disable it, please ask.
If your anti-virus or firewall complains, please allow this script to run as it is not malicious.
Next: Disconnect from the internet. If you are on Cable or DSL, unplug your computer from the modem.
Next: Please disable all onboard security programs (all running with back ground protection) as it may hinder the scanner from working.
This includes Antivirus, Firewall, and any Spyware scanners that run in the background.

• Double click combofix.exe and follow the prompts.
• When finished, it will produce a log for you.

Note: Do not mouseclick combofix's window while its running. That may cause it to stall
Please be patient while the scan runs, at times it may appear to stall.
When finished and after reboot (in case it asks to reboot), it should open a log, combofix.txt.
Post this log in your next reply
After rebooting ensure your Security applications have been re-enabled.

In your next reply post:
ComboFix.txt
***A guide and tutorial on "How to use Combofix" can be found here:
ComboFix: A guide and tutorial on using ComboFix

IF CF won't run:
During the download, rename Combofix.exe to sVchost.exe