I have Vista 32 bit home ultimate on Dell 9200, it has 2 HDD but no RAID
Regularly run CCleaner and it is protected with Kaspersky anti-virus, up to date with all MS patches & SP’s

I was trying to install an app, (Creative Zen Organizer) and it failed to complete each time ... contacted manufacturer who asked me to boot up in safe mode and install from there.
It failed every time I tried to boot up in Safe mode.
Now fails to boot up at all.

Sequence steps attempted -
Boot up using F8 .. and get Safe Mode option, but when I select it ... trundles through a load of files on screen then stops ... the last file is always the same crcdisk.sys
I can leave it for ages .. loads of HDD activity but never completes boot up.

I used VISTA disk to try ‘startup repair’ ... no difference
Tried rollback to previous system restore points ... tried 5 different points ... all failed
Tried multiple combinations of repair + restore all failed .... safe boot still stops at crcdisk.sys

Tried using F8 and reboot to “Last known good configuration” .. starts, then just reboots

On advice ran
• cd \windows
• del *pcmcia*.* /s/p
• del *1394*.* /s/p

No change

Created Western Digital DataLifeguard form .iso file .... machine starts boot, but no activity or screen no prompts no output
Ran the HDD diagnostics form VISAT disk boot up .... reports both HDD as no faults

Well, it would seem you have tried just about everything. If you can successfully get into Safe Mode, I would uninstall your anti-malware solution as that seems to have worked with others with the same problem. However, since it appears you can't even successfully boot into Safe Mode any more, and since you have tried Startup Repair and other options, I am afraid you are looking at a fresh OS install.

You might pull those drives (or at least the boot drive) and attach it to another computer to copy off any data you want to keep.

FYI - when the system stops and the last file displayed, crcdisk.sys in your case, is typically the last file that successfully completed and the system is actually halting during execution of the next file the boot process is attempting to run. So while crcdisk may lead you to suspect a drive problem, the next file may be totally unrelated to any hard disks.