Can't move folders after XP to Windows 7 upgrade

I have done tons of these upgrades but this one had me baffled, its from XP Pro to Windows 7 Pro using Vista Business as a bridge, all x32.
After the upgrade, all seem working except I can't move folders, if I choose CUT and then try to paste to a different folder, the PASTE option is not avaiable, if I try to drag the folder, it will show the no entry sign (circle with a line at 45' in red).
I have tried DisableThumbsDBOnNetworkFolders but this didn't help.
All folders are set with ReadOnly OFF, not sure what else I can try on this.
CombemartinAsked:
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Pedro GamaCitrix AdminCommented:
Hello,

Have you checked ntfs permissions?

PG
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CombemartinAuthor Commented:
Yes, all access to user.
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McKnifeCommented:
Hi.

This happens on any new folder you create? Like: Create folder 1, create a new text document in folder 1, create folder 2, copy that textfile using CTRL+C and paste to f.2 will not be available?
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CombemartinAuthor Commented:
I just tried to test the folders, error 512 if I try to create new folders, even if I create a new user, I still get the same problem. Have reset the users permissions already.
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CombemartinAuthor Commented:
I have also tried
secedit /configure /cfg %windir%\inf\defltbase.inf /db defltbase.sdb /verbose
Again same error 512
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McKnifeCommented:
Sometimes, upgrades do no work. Sometimes, you repeat the upgrade and it works...
I recommend to run a repair installation of win7, also known as inplace upgrade.
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CombemartinAuthor Commented:
Thanks, in the end, had to fresh install.
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Windows 7

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