wow, your having tons of trouble mr shizzy, its really confusing why its only you as well. but to answer your question, yes you can degrade with recovery. you need the 1.50 update as well as the files for recover (everything inside the RECOVERY folder that can be found in any of the 3 main se updates) the 1.50 update has to be renamed from eboot (eboot.pbp) to update (update.pbp) and placed inside the RECOVERY folder, then the RECOVERY folder goes into the GAME folder (NOT GAME150 or GAME271) then run through recovery menu. As for removing prx's when upgrading, it wouldnt have mattered, as it whipes flash0 before installing the update.
if you want SE-C and are still having problems i could send you the zip i have with my DATA.DXAR file (never know when you may need it again

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