I have reproduced this on Win2k, XP and Win2k Server boxes. Some have a local copy of kixtart.exe and some run it off the network with the same results. On the same PC, I can login with another user and it works fine.

I have dug some more and it may not be a kixtart issue, but more of a domain issue. I am saying this because I cannot do a "net user username /domain" when logged in with the broken user's account, but it works fine with any other account. I will have to dig some more.