Sophos Home Detected Threat - Unable to detect using recommended Sophos Virus Removal Tool

I was forwarded to the community discussion from the chat staff.

I have a threat that is flagged by Sophos Home when it scans the PC. It shows "DriverUpdate - Slimware Util" which is residing in the Recycle Bin as a hidden file. (C:\$RECYCLE.Bin\...)

When I click more info on the threat it then instructs me to download and use Sophos Virus Removal, when I run a scan using Virus Removal it does not detect the threat. However when I re-scan afterward using Home, the threat is still showing. 

What can I do to properly remove this file?

I have cleared recycle bin of all users as administrator using cmd. How is this file still here? 

If I 'Ignore' the warning and re-scan will it show up again? When I click Ignore does that dismiss it temporarily or will Sophos ignore it in future scans? I want to properly address this file, rather than just ignoring it. 

Thanks!