Unable to install Windows 7 SP1

Windows 7 SP1 (KB976932) was downloaded, by windows update. Now every time I restart my laptop, I get configuration failed error and the PC won't start.

I have tried uninstalling this update from control panel<view installed update..but every time after I restart my system this file comes in again and same error as mentioned above.

I have also tried system restore, to the point created while installing SP1 but it does not help.

Can someone please guide, me how do I get rid with this SP1 without a fresh install?

For time being I can only enter my laptop in safe mode!

Nopes, I will do that now and reply with results.

again a blunder...it says there is a system restore pending..please reboot and perform scan again

Windows update>Update History
Windows 7 SP1 (KB976932) - Successful
Event Viewer - I checked the logs now, but can not find any error for SP1 installation. Most of the error of force shut down.
Temp- as suggested, I have cleaned the folder. However the problem still exists!

Please help

Link below with an uninstall procedure for SP1:

Note -
If you installed SP1 yourself, you can uninstall it.
However, if your computer came with SP1 already installed, it can't be uninstalled.

How to uninstall Windows 7 Service Pack 1 (SP1)

Hi There,

That is correct, my computer did not come with win7 SP1 but it was done by windows update!

I have already tried uninstalling by the steps given in the above link, however each time I reboot my system..it starts configuring again..

Might be time to think of a more radical approach.
Two links included for your consideration...

Clean Install Windows 7

Repair Install

Do you think there is no other way except repair or clean install?

I mean, I am trying to figure out where is the backup file or something.... stored which initiate the installation of SP1 each time I restart....