<p>Does anybody know if there is a feasible way on Windows XP to programmatically create and configure a user account so that after logging in from the console (no terminal services) a specific app is launched and the user is "locked" to that app ?</p>

<p>The user should be prevented from doing anything else with the system (e.g.: no ctrl+alt+canc, no ctrl+shift+esc, no win+e, no nothing).</p>

<p>As an added optional bonus the user should be logged off when the launched app is closed and/or crashes.</p>

<p>Any existing free tool, language or any mixture of them that gets the job done would be fine (batch, VB-script, C, C++, whatever)</p>

I guess you're building a windows kiosk?
Here's some background in replacing the windows login shell -
http://blogs.msdn.com/embedded/archive/2005/03/30/403999.aspx
The above link talks about using IE as the replacement, but any program can be used.
Also check out Windows Steady State -
http://www.microsoft.com/windows/products/winfamily/sharedaccess/default.mspx