I have an SP3 VFP6 application (.EXE) in a directory with three VFP6R files, my foxuser files and a CONFIG.FPW

My CONFIG.FPW looks like this:
SCREEN=OFF
TMPFILES=D:\LW2LOCAL
EDITWORK=D:\LW2LOCAL
SORTWORK=D:\LW2LOCAL
PROGWORK=D:\LW2LOCAL
DEFAULT=E:\LW2000

The directory I'm in is LW2LOCAL, and it is where I have specified my temporary files to go. My actual data and reports, etc reside on the network under E:\LW2000

When my app starts, SYS(5)+SYS(2003) Clearly show that my current directory is D:\LW2LOCAL, and SYS(2019) clearly shows that I'm using the CONFIG.FPW in that same directory. Now the wierd part...

Why are my temporary files going in C:\Windows\Temp, why isn't my default directory set to E:\LW2000 and why when I FOPEN("CONFIG.FPW") in my EXE (which shows SYS(5)+SYS(2003) pointing at my D:\LW2LOCAL directory) - I am NOT getting the CONFIG.FPW in that directory!

What is going on?

HELP!