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If all root folders of the Program Files folder do not work.
I would say that this is a security protocol set by a Group Policy.
Or still no proper permissions.
Please try to log in as the actual local Administrator and then try your script. That would verify you have enough rights.
The "Documents and Settings" directory have different rights assigned, and even then Group Policy might have changed those too.
So please try it once more as the Local Administrator of that computer and see what happens. I'm quite sure that is it.
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