There ain't no such puppy, plain 'n simple. Never has been. Some wise-ass somewhere wrote a joke warning full of pseudo-technical talk ("nth-complexity binary loop," "ASCII buffer," etc), and presumably someone believed them and handed it on. From then it flew with the wings of a bird all 'round the internet.
Anyway, there's nothing to do here. Just don't pass it on. If someone asks how you know it's a fake, the short answer is that you can't pass viruses through e-mail like this. If your e-mail program is set up to automatically run programs that are included in the e-mail, then it might be possible to spread a virus, but 99.9% of e-mail programs aren't set up this way. So chill. Learn yourself more about computers, and you won't be fooled next time, eh?
Next patient, please.