That’s the problem. Before the wp-settings.php it should show the whole server path.
If I remove the wp-settings file from my local install, it says:
Warning: main(C:apachefriends/xampp/htdocs/214/wordpress/wp-settings.php) [function.main]: failed to open stream: No such file or directory in C:apachefriends/xampp/htdocs/214/wordpress/wp-config.php on line 20
Fatal error: main() [function.require]: Failed opening required 'C:apachefriends/xampp/htdocs/214/wordpress/wp-settings.php' (include_path='.;C:apachefriends/xampp/php/pear') in C:apachefriends/xampp/htdocs/214/wordpress/wp-config.php on line 20
There is something wrong with that whole setup but I doubt we can say more without seeing it.
If you want, contact me (by clicking on my name) and provide the access info, so that I can take a look at it.