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After much research and some luck (some bad some good) I finally found the answer to my problem, If you have a similar problem it may or may not solve it. True much of the fault lies with updating from IE6 to IE7 which dos change many of the settings you may have had under IE6. Here was the answer to my problem and the solution:
Go To Network Connections/Advanced/Dial Up Preferences. On the DIAL UP Preferences Pop Up Box, make sure “Always ask me before autodial” is ticked. Vioala! problem solved.
For more information on Autodial, Go to Windows Help and Support and search for Autodial. Read the articles on Autodial, one in particular reads, “If you are disconnected from a network, Autodial attempts to reconnect whenever you try to access remote information” Interesting!
Thanks to all who offered help and assistance, it was sincerely appreciated and eventually lead to my solution. To All–Thanks.