i've faced the same problem last time, actually there's a file missing in ur comp which caused you're not able to login ur msn..
what i did last time was, click "help" and read..
and it said that i probaly missing a file, so i search for the file from google,
install it and its work like a charm..i forgot what's the name of the file so i couldnt give u details information, sorry..

*EDIT*
i've found the file name..it is called as Microsoft XML Parser..
that's what i download and install last time to fix my MSN problem,
below is the link to download it..it just 1mb..

http://download.microsoft.com/download/8/8.../MSXML3msms.exe

post an update here..^^

This post has been edited by choy89: Apr 15 2009, 01:59 AM