Cannot load profile Event ID: 1500

I am administrator of my system and i am not able to find out any of the files for other users. It seems as if Ive lost administrative privileges. I am not sure about it as i have checked out in control panel and it states that I have administrative privileges. I have gone through event viewer and i see below message there.

Event Type: Error
Event Source: Userenv
Event Category: None
Event ID: 1500
Date: 2/29/2008
Time: 1:54:40 PM
User: NT AUTHORITY\NETWORK SERVICE
Computer: ANNETTE
Description:
Windows cannot log you on because your profile cannot be loaded. Check that
you are connected to the network, or that your network is functioning
correctly. If this problem persists, contact your network administrator.
DETAIL - The system cannot find the file specified.

Can anyone help me out????

I am not sure if this will but you can surely give it a try.

• First log in to your computer as administrator and create a new user called "default user"
• Now log off as administrator and login again using default user account

You should now be able to log in any user Domain without any issues. Try it out and let me know if the above trick works.