Sign of “DAME (Dark Angel M.E.)” has been found in “D:\Program Files\WinMX\library.dat” file.
I have moved the file to the chest, but it seems to be recreating itself. This didn’t show up before yesterday, only recently. Should I exclude this from scanning or take some other action?
DAME isn’t an actual virus, rather a file encryptor for in this case .COM files.
You have to boot in safe MS-DOS mode from a secure boot-medium. DAME has been around since 1992, you have been targeted by an “oldie”.
If it is indeed a false positive, add it to the exclusions lists (Standard Shield, Customize, Advanced and Program Settings, Exclusions) and periodically check it (scan it in the chest), there should still be a copy in the chest even though you restored it to the original location. When it is no longer detected then you can also remove it from the Standard Shield and Program Settings, exclusions.
Also see (Mini Sticky) False Positives, how to report it to avast! and what to do to exclude them until the problem is corrected.