Also the fault is saying File I/O surrogate (not visible) I'm not a computer expert but this sounds like Windows can't see a needed executable file. This could be some sort of permissions issue or the file just isn't there. You could just try running Vegas as an administrator. If you right click the desktop icon and select "run as administrator". You never know you might be lucky.
If no joy take a look at this article on how to do a clean install on a Windows 7 64bit PC, it might help your situation.