Wow, that second link described something almost similar to what my case was!
The thing I want to know however is that the guy says it's because of BSODs he used this repair method. I was wondering if this applies to any problem where I could for example see the WinXP splash screen loading, but then after the loading I cannot get to the logon screen, or if I do, it crashes there, and there is no way to save my computer (i.e. Last Known Good Config helps not, Safe Mode neither, nothing, nada).
If this technique can apply to any case where you simply can no longer get into Windows itself and perhaps restore to a functional point, then I hope one day it would save me, because I had TWO times in the past weeks formatted because:
1rst time: DNSAPI.DLL was not a valid Windows Image, the error was popping each time I get into the Logon Screen, and I could not continue after that error, same thing in Safe Mode or Last Known Good Config. Had to format, simply put.
2nd time: Did a thorough surface CHKDSK scan, I'd see only 2 green bars in the splash loading, then it'd switch to the CHKDSK screen to tell me I am done with the scanning (when I CHKDSK outside Windows, usually when it reboots, before switching to the logon screen, it will show the CHKDSK screen for an instant, could be a bug or simply to tell me last boot had a CHKDSK done), however on that screen there was "........" showing, as if it was loading something, but after that nothing would load, drive stops working.
Both cases had me formatting, with utter despair seeing WinXP being so weak at recovering. Recovery Console was a damnation, no help whatsoever and I could not initiate a Repair Installation, except in the first case in which either way, the end result was actually not fixed, I could login but the GUI, the drivers, everything was very badly detected. Formatted.
I am hoping dearly this resolution applies to even such drastic cases where getting into Windows no longer works.
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