MICHAELMMPA:
Thanks for the additional information.
As it seems now your problem did not start during a Spybot update or due to a failed update.
If you had rebooted the system at this point everything most likely would have returned to normal. See:
- Spybot Corrupting user profiles
http://forums.spybot.info/showthread.php?t=25448
I am still confused about the chronological order of what was done (re: System Restore vs. Spybot uninstall), but I still do not believe that whatever order things were done in that either action could have caused the problem with your USB drive.
As I initially indicated, it sounds like a drive problem.