Can system restore remove virus from the computer?

The short answer is no.

System Restore can help spread a virus though.

See here for more info: Removing Viruses with System Restore. Quoting the relevant parts:

When System Restore first appeared in the market, computer manufacturers and other companies claimed ... that it could remove viruses and fix other problems with the computer.

In reality, System Restore can create copies of the infected files. And some viruses may be capable of infecting the restore volume as well as the actual system files. When a person cleans their computer using an anti-virus, then uses System Restore, they may inadvertently re-infect the computer. Or if they use System Restore as a means of removal, either the restore will fail (if the anti-virus cleans the virus out during the restore process) or the restore will replace the file with an infected version.