Sony Vaio System & Hard Drive Total failure

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Firstly, Hi Everyone and I'm new to this having just started a new Custom PC Build & Repair Service and I have a relatively good sound knowledge of computing but this particular issue I have with trying to fix a friends pc is starting to make my hair fall out !!!!

Ok, to begin... The make & model is a Sony VAIO PCG-282M which coincidentally is not listed on sony uk support site, the other code I have is on the quick start reference guide which shows VGC-LM1* which shows up on sony uk support as one of a potential 4 / 5 variants, the * being replaced with a letter...

Sorry, I'm babbling........

PC OS is Win Vista Home Premiun OEMAct with Product Key Label on reverse side ( I hate Vista !!!! - XP was far more stable!! ) and was infected with an encryption virus that encrypted all outgoing emails and data therefore being unreadable by recipient pc's.

Used avast pro which cleared and removed certain files and then the pc became slow and in some cases totally unresponsive.

Created recovery discs which took 3 attempts and crashed between disc 1 and 2 stages but finally managed it.

Tried all recovery options including total system recovery but gets to 26% and then creates 3 error messages and shuts down.

Finally used the wipe and erase feature and now have "no operating system found" on boot up.

1st Attempt :
Removed original HDD and used my Master PC to look at the HDD using "MiniTool Partition Wizard Pro Edition".....All data is missing and is showing one single NTFS partion with no label name. Re-installed original HDD and booted using recovery disc 1 and it boots but there is no OS found and asks to load drivers but I don't know which drivers it refers to when I browse the RD1, so I'm now stuck.

When I entered the BIOS settings I notice that there are 2 HDD listed, No name or model serial number, simply...

HDD 0 : 320GB
HDD 1 : 0GB

Funny ????? My partion software sees it as a 290 GB HDD ??????????????

Attempt 2 :
Naively I admit, but I then thought, OK I will reboot using a Windows XP Install disc that I have and it progresses thru loading drivers and then asks for option to install or repair, I chose install and then it says that I have no hard drive on the system ?????????
BIOS says it's there as HDD 0 so WTF !!!!!!

If anyone is still awake at this point and can make any sense of everything I have detailed above, u can pass Go and collect £200 and help yourself to a get out of jail free card cos I'm baffled !!

Thanks in advance

LC