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The issue (Windows 10) disappears after the user hits ctrl-alt-delete and accepts our "county user usage" agreement, and clicks in the box to log into their account.

Above is a photo of the issue. Graphical "static" distortion where the mouse pointer should be.
I have run just about every scan imaginable on the computer - Diagnostic (on hardware like graphic card), virus / malware, SFC, Windows Update, replaced the mouse, have made sure that drivers are up to date, etc,. Nothing seems to resolve the issue.

This is only an issue when the user turns the computer on in the morning from being shut down overnight. If they log off or let the computer sleep, it does not happen.

Any ideas? I've been racking my brain for two days now and nothing seems to resolve this issue. Any help at all would be appreciated.

Thank you ahead of time!