Manual removal of newfolder.exe virus

Hi guys,
My computer is infected by a virus, that is eating up all my empty hard disk space. It is very surprising that my Antivirus application is not able to remove this virus.
The virus is detected, but cannot be removed. This virus is called the newfolder.exe virus
I did some research online, as to how to remove this virus since my Antivirus software cannot remove it.
I found some tools to remove it automatically, but I think that I am doing something wrong because it is not being removed.
Can someone help me with this or is there some way to remove this virus manually?
Print screen of virus infection below:

Virus Alert
Norton Antivirus has detected and removed a virus from your computer.
Object Name: I:New Folder.exe
Virus Name: Trojan.Dropper
Action Taken: The file was automatically deleted.
OK
