That’s a bad situation. You should check the folders located at %localappdata%\AxCrypt . Open Windows Explorer and type it in the address bar and hit return:
You may find some randomly named folders there. Check them and see if you might find the file still there.
What you did when you answered ‘yes’ to the question from Microsoft, was essentially equivalent to resetting the computer or unplugging the power in the middle of AxCrypts operation. I’m amazed that Windows would operate in that manner, it’s not only AxCrypt that will have problems with that scenario.