You should start by going to the hard disk manufacturers website and downloading their utility. Usually these are bootable disk utilities. So in the same way you imaged the disk originally, run the tests on it .. eg unhook windows disk, hook up problem disk boot from utility floopy and run tests. In some cases the manufacturers original utilities can detect and mark sectors bad, this may help.

When you have completed the testing, reboot the installer image and re-image watching the MFS restore part closely. Then fingers crossed.