SetRect is a windows function. Since you somehow had a messed up VC++ directories setup, I'm pretty sure it is still plaguing you. Its a linker error, meaning you're not including the module which defines\exports the SetRect symbol (probably user32.lib).

You may want to re-install VS05, you shouldn't have had these problems unless you made changes to the install options (or to program files), if which is true, makes helping you that much harder. I can help debug Yelo because I have the source too, but now you're getting into the actual program state which I don't have a copy of to analyze...nor do I want >_>