If I right click on c:\documents and settings and choose properties on my XP machine, there's only an option to restore the default settings of the icon that show with that folder in My Computer and Windows Explorer, and shouldn't change anything in any folder except this. And certainly not in one particular folder 2 levels deeper (first down to your profile, then down to the Desktop folder). In fact, I tried and I still have all my shortcuts on my desktop.
1. Did you check the contents of that Desktop folder I mentioned?
2. Did you look in the Recycle Bin?
3. Did you search for the files using Search all over the hard disk?
If no luck, restore them from your latest backup. You'll only lose the changes you made after that.
The interesting thing: what error did you get and why did you think that changing the icon of the Documents and Settings folder should help against it?
I got an error and did a restore default by going to properties of Document and Settings. I had files on the desktop and all are missing. Please help me to get the files back.
Thank you Ronaldo