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Data moved automatically between folders with the name "clients"

I am stumped and hope someone has an idea for me. This problem occurs when a user creates a folder with the name "clients" on our main network drive. We already have a folder called "clients" and when a user creates another "clients" folder in a subdirectory all hell breaks loose.

Automatically, something is detecting this second folder with the same name as our main "clients" folder and all of the data is moved into this new client folder. After searching for specific files, we can see what has happened. The data has been moved to a newly created "clients" folder by the user "administrator". The folder itself is created by a user other than administrator. A service running as administrator may be responsible for the actual movement of data but it happens automatically.

In other words....
A user named UserA creates another folder on the network to store his works in progress. He calls the folder "clients". Within a very short period of time, all of the data from our main" F:\data\clients" folder begins to disappear and is moved into this new "F:\users\UserA\clients" folder.

We have instructed users not to create any folders on the network named "clients" until this is resolved.

I think I have ruled out Windows as the culprit. The server is running Windows 2003 but this problem occurred before we upgraded from Windows 2000 so I doubt the OS config has much to do with this.

I suspect it has something to do with Time Matters but I don't know why it would do this.
Are there any Time Matters experts here that may be able to chime in?  If it is Time Matters, how do I prevent this from happening. Any ideas would be greatly appreciated. We don't run any other software that accesses the clients folder.
1 Solution
You can use Process Monitor to see which process is moving the files.

Start monitoring, create the new clients folder, and then stop monitoring once the problem occurs.  Filter by the path to see the pertinent results.  Once you know which process is responsible then you can troubleshoot from there.

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