Just my 2¢, but I find that issues like this with Windows Updates are usually due to older/buggy drivers that are already installed on the system when the update is downloaded and installed.
In Titoos' case, it seems to be an issue with the USB CF (Compact Flash) Reader. Updating the drivers to the latest available version from the device manufacturer (not the PC manufacturer) may help.
Thanks for posting this info - it's bound to help others who are experiencing the same problems!