Don't change anything on your system until you determine if the deleted files can be recovered from your hard drive.
I am very afraid that you may have deleted your files. I just did a test, and Encore deletes everything (including preexisting folders) when a project is created with the same name as its project folder.
When I answered "no" (do not create the project and delete the existing folder), it did NOT proceed and did not delete anything.
When deleted, no files or folders appeared in trash bin.
Use a utility/expert to try to find and restore the files if you have not done other things in the meantime that have saved over the old information.