>>Sergey have already given you the reason. See message#1419577.
>>
>>>I've got TMPFILES = C:\TEMP in my app's config.fpw file which is built into the exe, but it's still creating temp files in the machine's
>>>C:\Document And Settings\... folder. Do you know why?
>
>But the VFP temp folder is set by this TEMPFILES in the config.fpw, isn't it?

I guess there may be an outside config.fpw in use, which may take this in a different direction, or there may be something wrong with the C:\temp (directory not there, no rights?), which may cause VFP to decide to default to default.

My favorite way is to have one nondefault setting in %tmp% and %temp% (n:\temp), and another one in config.fpw (f:\temp) - so then I know which one is in use.