Will there ever be a component added to Avast 5 that will stop this little bugger? So far I have had 2 students come in in the last 2 days with this and both of them had up to date Avast 5 installed.
If you can send a sample to avast so they can update the detection… 
Remove Virus Protector (Uninstall Guide)
http://www.bleepingcomputer.com/virus-removal/remove-virus-protector
Malwarebytes removal forum
http://forums.malwarebytes.org/index.php?showtopic=42377&hl=virus+protector
Unfortunately, the only way I can get rid of it is system restore. Can’t even run Malwarebytes because the Virus Protector runs at start up even in safe mode and it disables task manager. Under these conditions, I wouldn’t know how to get a sample to send. When I picked it up, I was on MSN.
Welcome to the forums, beebobby 
I do not know if this will work for you but you can try the below steps for either XP or Vista.
1 - Click F8 when booting your computer.
2 - Start windows in safemode with command prompt.
3 - If you are using Windows XP type in “%windir%\system32\restore\rstrui.exe”
If you are using Vista then just type “rstrui”
This will launch your system restore feature.
4 - Restore your computer back to the date before the Virus Protector program was installed on your computer.
EDIT :
If the above works, I would then install, update, and run MBAM just to be sure.
Yep, did all that. The virus protector apparently replaces explorer.exe, so it runs first, even in safe mode. Safe mode w/command prompt, then restore was the only way to fix. I even pulled the hard drive and scanned it on another machine. No joy. If it’s any consolation to Avast users, Symantec Endpoint Protection won’t stop it either.
Then, that worked for you?
If so, I hope that will work on the other computers that are having a problem.
Yes, the safe/command prompt/restore worked, I just wish Avast would have stopped it because a new user is going to be in trouble.