At last, what looks like a removal method that should work. This guy deliberately set out to get the Babylon Toolbar installed so that he could work out how to get rid of it and then demonstrate what he did for others to copy. Now that's dedication above and beyond the call of duty.
The instructions are clear and well illustrated, and he's not trying to get you to buy anything. Or even to download anything (except right at the end, and he makes it clear that the tools he provides links to aren't always necessary).
The instructions for Internet Explorer are for IE9, but will work just the same if you have other versions.
Recently I am seeing a lot of software embedding the Babylon Toolbar into their setup installers. Some of the example software that contains Babylon Toolbar are SUMo NoRK, AnVir Task Manager, ViStart, and The Web Blocker to name just a few. In fact CNET Download.com Installer used to have Babylon Toolbar but it has been replaced with Blekko. Whether it is Babylon, Blekko, MyStart by Incredibar or any other brands of toolbar, they are all the same. Some people may label these browser toolbar as virus or trojan but in fact it is simply an advertisement software (adware).