Yes. XP Home does NOT use the EFS, so with a nicely crafted DSL CD, one could access but not delete the data on the HDD. If you want BETTER data security, XP Professional (latest build) has the EFS (which one still has to turn on).
With EFS on, it just shows up as 0k in Linux. I know, because i researched it with my own box.
If you want the most integrated / Keep It Simple Stupid method of doing it, XP Professional would be a good step.
It would also help if a Moderator would move this to the OS Forum.
And if you haven't been welcomed, WELCOME TO TECH FORUMS.