Okay so I have an HP with a virus on it and I had an illegal copy of windows 7 on it which wiped the recovery off the computer. Im not sure how to reboot the computer and wipe it clean. Microsft contacted me and made me buy the real copy because they found out it was illegal. Now that I correct copy what should I do?

Did you burn a CD/DVD with Win7? If so then boot from it and do a fresh install using the legal product you bought.