"It does not exist any more in my hard drive."
Translation:Il n'existe plus dans mon disque dur.
"Can you give me the latest insert favourite show episode?" "Most certainly not! That would be copyright infringement. Ahem. Besides, I deleted it; it's no longer on my hard drive."
There is nothing unnatural about the English. I vote the sentence stays. :) My understanding about the "ce" vs "il" is that the former is usually followed by "est" when it means "it". (http://french.about.com/od/grammar/a/indefinite-demonstrative-pronoun.htm) Although my grasp of "c'est" vs "il est" is still shaky at best. It's something I'm hoping will simply become more natural with time. I'm sure about the English though. :)