Try checking the properties of the following files:
outlook.srs, outlook.dat and views.dat-- or they may have a different filename, but there aren't many files in that folder.
These files are located in:
c:\document & settings\\application data\microsoft\outlook
please change the path accordingly for roaming profiles
What most likely is the problem is that these files would be read-only and you need to change the setting. This should correct the problem.
if this fails..try renaming the srs file & reopen outlook..it may create a new srs file & outlook will start functioning