Removing Trojan horse Patched_c.LYU and Luhe.Sirefef.A virus

Hi to all the people participating on this discussion. This is my first post and I hope on getting seamless response. My computer is infected with Trojan horse Patched_c.LYU and Luhe.Sirefef.A . AVG antivirus is installed on my computer. This morning, it started to show warning about the presence of the said Trojan. Prior to that, I saw some signs of malware activity on my PC. I am getting pop-ups ads and browser constantly redirects to unknown web pages. The first warning I receive from AVG is this one.

C:\Windows\System32\svchost.exe”;”Trojan horse Patched_c.LYU”;”Object is white-listed (critical/system file that should not be removed)

I did run a scan while in safe mode of Windows and I guess it has taken care of the Trojan. Warnings have stopped and my computer is free from virus, I supposed. Nevertheless, I am wrong. After starting computer in regular mode, I run another scan, and this time, new sets of files are identified.
“C:\Program Files\Internet Explorer\iexplore.exe (3484)”;”Trojan horse Generic_r.BAT”;”Deleted”
“C:\Program Files\Internet Explorer\iexplorer.exe (3484):\memory_08f00000″;”Found Luhe.Sirefef.A”;”Infected”
“C:\Program Files\Internet Explorer\explorer.exe (3484):\memory_08ea0000″;”Trojan horse Generic_r.BAT”;”Infected”

I have boot the computer in safe mode again and run another scan but the virus seems to be working only in normal operation of Windows. The problem is, AVG will not remove the threat on this approach.
Please help me solve this.