Windows server logs user off on log in

[sgwisby]

I have a Windows Server 2003 server acting strange. When user account logs in(domain account or local account)the server logs the user off and displays a pop-up with the following:

"DLL initialization failed: The application failed to initialize because the window station is shutting down."

The server does not shut down but rather logs the user off immediately. This is a sharepoint server and all sharepoint sites are available, however, there is no access to the OS other than Safe Mode.
A little history of what happened before this problem arose:
The C: drive was at less than 50Gb free and windows requested cleaning up some space by compressing some of the data. After the clean up ran, we regained 4Gb of space on the System partition.

Any ideas as to what would cause this and how to remedy the situation?
All responses are appreciated,
David

 

[itsp1965]

Did you only compress or did you remove files. I have seen this behaviour when either files are missing under C:\WINDOWS or if the ACL of the Windows folder was modified to deny access. Also what folders did you compress on the C: drive?

 

[bracadar]

Was there a pending reboot that failed? Can you reboot the server? Can you login remotely?

 

[sgwisby]

I did not recieve any information as to what files it compressed, however I did not remove any files.
Also, it does not matter how I access the server(RDP, Console or via IP KVM switch) the account is immediately logged out. Yes I have rebooted several times.
This is strange behavior and I have never experienced this within Windows OS before.
I appreciate your efforts in helping me resolve this matter. If either of you have any more ideas or suggestions, they would be appreciated.
Thanks
David

 

[itsp1965]

Have you tried connecting to the server remotely ie mapping drives, using computer mgmt to manage it, etc. If you get access denied errors, I tend to think that someone has messed with the ACL of your Windows directory

 

[sgwisby]

No problem managing the server remotely and no problems with mapping or permissions. The only issue is getting logged out immediately after logging in. The pop up message indicates that the station is shutting down but it only logs the user off. This server houses a Sharepoint Portal and all access to the portal sites are available.
I have searched the internet and consulted with several individuals and can not come up with any ideas as to the root cause or resolution.

David

 

[tfg13]

Anything in the event logs (use computer management remotely to look) that indicates which DLL?

 

[sgwisby]

The only thing concerning dll is "DLL initialization failed: The application failed to initialize because the window station is shutting down."
Each time I logon I get a different dll that will not initialzie because the window station is shutting down.

It appears that the shutdown/logoff is causing the failure of DLL initialization .

 

[sgwisby]

Does anyone have any more ideas on this matter?
I would really appreciate assistance on this as I have not been able to resolve the issue and cannot administer the server.

Thanks
David