An error occurred while applying security information

When trying to change the permissions on any networked file I get 'An error occurred while applying security information to: Y:\Folder Name' Access is denied.

- All PC's are Windows 7
- This is the second time this has happened over the last year to me, the first time the only resolution was to re install the PC.
- I have tried changing the ownership of the file to myself but it didn't make a difference.
- I can successfully change the permission of files saved locally on the C drive.
- I cant change the permission of any network file (tried on different servers).
- If I boot a PC in safe mode I can change the permissions on any network file successfully.
- I have logged onto a different PC and the same problem occurs.

Hopefully someone can work out whats going on....
Tech_ServicesAsked:
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Randy DownsOWNERCommented:
have you tried disabling firewall, A/V? Maybe try one of these tools.

Capsa Free

A network analyzer designed for monitoring, troubleshooting and analysis, Capsa Free from Colasoft provides the capability to identify and monitor more than 300 different protocols.
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Randy DownsOWNERCommented:
It sounds like a permissions issue. Is this a domain? Do you have full (read/write) permissions to the network files?
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Tech_ServicesAuthor Commented:
This is on a domain, and the user is a member of the domain admin group with all necessary permissions.

The issue is on the PC and not with the user account as the changes can be made on other PC's.

Thanks.
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Randy DownsOWNERCommented:
OK so this account works properly from other PCs on the network. Have you tried other domain administrator or administrator accounts?

If it's a profile issue then a new profile should fix it. Either delete the existing Windows profile or log on with a profile that has not previously logged onto the PC.
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Tech_ServicesAuthor Commented:
Removing and re-creating the users profile on the PC does not resolve the issue. Another domain admin has also logged onto this PC and gets the same issue but it works fine for them on their own PC, therefore i'm assuming it must be something on the PC...

Thanks.
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Tech_ServicesAuthor Commented:
Whilst the error appears when trying to change permission it looks as though the change is actually working (except for the error prompts that appear).

And whilst the error says access is denied you can still delete the entire folder???
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Randy DownsOWNERCommented:
Does turning off UAC make a difference?

To turn UAC on or off
Open User Account Control Settings by clicking the Start button , and then clicking Control Panel. In the search box, type uac, and then click Change User Account Control settings.
Do one of the following: To turn off UAC, move the slider to the Never notify position, and then click OK.
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Tech_ServicesAuthor Commented:
UAC is already disabled.
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Randy DownsOWNERCommented:
Different firewall or anti-virus products on this PC? Malware? Try running ADWcleaner or malware bytes.
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Tech_ServicesAuthor Commented:
The PC is clean and all settings are the same (firewall, AV, etc).

This issue is happening on a couple of PCs.
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Tech_ServicesAuthor Commented:
It looks to be an issue caused by the encryption components installed on the clients by Kaspersky Security Center.

I'm currently in contact with their support to resolve the issue.

Thanks.
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