I spend hours looking to fix this problem. What solved the problem? I just renamed mlthnj.dll to "1mlthnj.dll" and I now I do not see any winlogon.exe - bad image error.
The file "mlthnj.dll" was in
"c:\documents and settings\NetworkService\Local Settings\Application Data\Windows Server".
My computer was infected with Antimalware defender virus. So, I used so many tools to get rid of it. Edited registry at places. After doing all of these, my computer was still giving me XXXXXX.exe - bad image error with the "c:\documents and settings\NetworkService\Local Settings\Application Data\Windows Server\mlthnj.dll" message in the box.
Anyway, I just renamed the file and no more annoyance.