Problems with Group Policy synchronization with SBS server

Hi experts,

The problem came to light when a user who remote desktops from home all the time was unable to do so anymore. Also when she did manage to login, it would load a brand new profile for her out of the blue with the following error -

"Windows cannot load the locally stored profile: Insufficient security rights or a corrupted local file. Windows has logged you in with a temporary profile any setting you make will not be saved."

To resolve this issue, I took the PC of the domain, deleted their profile from the "Documents and Settinngs" directory,  rejoined PC to domain etc. etc. so that the profile gets loaded again but the user keeps getting the same problem.

Upon checking the event logs I found the errors mentioned in the code attached. Upon investigating I found all the PCs in the network had the following event ids in their event logs.

My question is -

1) Are all the event logs related.
2) The user being logged into the temporary profile and remoting in. Do these seem related.
3) How do I fix all thats mentioned.
4) How do I fix these GROUP POLICY errors. Obviously all the PCs are getting it so must be a serious issue

EVENT ID: 1058
 
Windows cannot access the file gpt.ini for GPO CN={31B2F340-016D-11D2-945F-00C04FB984F9},CN=Policies,CN=System,DC=domain,DC=local. The file must be present at the location <\\domain.local\sysvol\domain.local\Policies\{31B2F340-016D-11D2-945F-00C04FB984F9}\gpt.ini>. (Logon Failure: The target account name is incorrect. ). Group Policy processing aborted. 
 
Event ID: 1030
Windows cannot query for the list of Group Policy objects. A message that describes the reason for this was previously logged by the policy engine.
For more information, see Help and Support Center at http://go.microsoft.com/fwlink/events.asp.
 
Event ID: 15
 
Automatic certificate enrollment for local system failed to contact the active directory (0x8007054b). The specified domain either does not exist or could not be contacted.
Enrollment will not be performed.
For more information, see Help and Support Center at http://go.microsoft.com/fwlink/events.asp.

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