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Cannot Create Files in NTFS
http://www.vistaarticles.com/articles/211/1/Cannot-Create-Files-in-NTFS
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Published on 12/10/2006
 
You cannot create files when alternate data streams are present on a computer that is using the NTFS file system.

Cannot Create Files in NTFS

When you try to create, copy, or move a file from two logical units, you cannot copy or move some files by using specific security settings on a computer that is running any version of a Microsoft Windows operating system.

Error: Access denied

To work around this problem, use one of the following methods:

Use a staging server and an automatic script. For example, you can use a staging server that has robocopy in the notification mode.
Write a Windows Explorer extension to copy or paste a specific set of permissions to the files. For example, you can use the backup API instead of the FileCopy API.