I have last version (as you can see in attachment, left is last downloaded version from theit website and right is my installed version).
Encryption is not added to MCS. Have no idea where you get that information.
Avast scan all changes made so when MCS send file to quarantine Avast also scan that quarantine folder.
In my case i insert USB. MCS detected 4 malware, i delite 3 and 1 is ingored.
Here is log:
MCShield ::Anti-Malware Tool:: http://www.mcshield.net/
>>> v 3.0.4.27 / DB: 2014.3.10.1 / Windows 7 <<<
12.3.2014. 17:05:17 > Drive F: - scan started (no label ~1960 MB, FAT flash drive )...
>>> F:\AVTORUN\Desktop.ini > ignored (user request). (MD5: f05d6580608901fa2aea2a1e711a8ff4)
> F:\AVTORUN
> F:\AVTORUN\Desktop.ini (MD5: f05d6580608901fa2aea2a1e711a8ff4)
> F:\AVTORUN\slovenec.exe (MD5: eb722f24b9affb0ecaf41cff09d0b241)
>>> F:\AVTORUN - Malware (folder) > Deleted. (14.03.12. 17.07 AVTORUN.45284)
> F:\ZNOJE
> F:\ZNOJE\Desktop.ini (MD5: f05d6580608901fa2aea2a1e711a8ff4)
> F:\ZNOJE\misejaja.exe (MD5: d6f30cf036932f1511c6a66e886a3868)
>>> F:\ZNOJE - Malware (folder) > Deleted. (14.03.12. 17.07 ZNOJE.314628)
> F:\NATASA
> F:\NATASA\Desktop.ini (MD5: f05d6580608901fa2aea2a1e711a8ff4)
> F:\NATASA\pazhin.exe (MD5: d5a130c139ebb1b133916823a065f3b5)
>>> F:\NATASA - Malware (folder) > Deleted. (14.03.12. 17.07 NATASA.118917)
>>> F:\xfl3hx.exe - Suspicious > Renamed. (MD5: 8b1fad2127a9920b4cf2cd6ff9306ce5)
=> Malicious files : 6/6 deleted.
=> Malicious folders : 3/3 deleted.
=> Suspicious files : 1/1 renamed.
____________________________________________
::::: Scan duration: 2min 15sec ::::::::::::
____________________________________________
after that Avast automaticly scan MCS quarantine, detect and delite that three malware.
Here is Avast FileSystemShield log:
* avast! Real-time Shield Scan Report
* This file is generated automatically
*
* Started on: Wednesday, March 12, 2014 4:20:49 PM
*
12.3.2014. 17:07:22 C:\ProgramData\MCShield\Quarantine\14.03.12. 17.07 AVTORUN.45284\slovenec.exe|>[UPX] [L] Win32:MalOb-IJ [Cryp] (0)
File was successfully moved to chest...
12.3.2014. 17:07:28 C:\ProgramData\MCShield\Quarantine\14.03.12. 17.07 ZNOJE.314628\misejaja.exe [L] Win32:Evo-gen [Susp] (0)
File was successfully moved to chest...
12.3.2014. 17:07:29 C:\ProgramData\MCShield\Quarantine\14.03.12. 17.07 NATASA.118917\pazhin.exe|>[UPX] [L] Win32:MalOb-AI [Cryp] (0)
File was successfully moved to chest...