Bluetooth holts Windows 7 Start Up

Laptop Specs:
OS: Windows 7 Home Basic
Version: 6.1.7600 Build 7600
Model: Dell Inspiron 1545
Processor: Pentium(R) Dual-Core CPU
T4500 @ 2.30 GHz, 2300Mhz
SMBIOS Version: 2.4
Physical RAM: 2.00GB
HDD: 320GB
Bluetooth Radio: Dell Wireless 365 Bluetooth Module
Microsoft Bluetooth Emulator


Problem:
When starting up Windows 7 Home Basic, the laptop boots through P.O.S.T perfectly. WIndows 7 startup logo appears without any glitches. Problem comes in when Windows 7 needs to start explorer.exe and the bluetooth radio starts up, asks for my Nokia 5800 to connect and if I don't accept connection on my phone, explorer.exe doesnt load and i get a black screen with only the mouse displaying and I can move the mouse.

If I press Ctrl + Alt + Del, "End Process" on explorer.exe and "Start New Task" typing explorer.exe , I get my desktop back but Side Bar does not load, Network connection icon in the bottom right corner (by the clock) freezes.

But, if I accept the connection , then the computer loads perfectly and or if I press "decline" on my phone the computer boots up perfectly.

My concern is if the phone is in the other room charging or somewhere far but in line of sight with the bluetooth then I would have to keep accepting or rejecting the connection. Its irritating so how would you fix this problem?

In short, the laptop looks for a bluetooth device but holts windows from starting up until it gets a response from the node (bluetooth phone). Only happens with the Nokia 5800 and not any other phone.

PS: Switching off bluetooth is not an option as the laptop worked fine when I pulled it out the box and used my phone as a modem. It is only a few months old (the Laptop).

Thank You

E Major 7