[THIN] Explorer not correctly displaying server drives - more info

I realised my last post may not have made hence - this diagram should help.. 
  If I click on SYS (U:) which is the server C: drive, I see nothing in the 
right pane.  I can however see the files at the bottom as can be seen in the 
pic below..  Hidden files are not displayed by default - if I enable this, I 
can see files in the SYS (U:) section but no files are set to hidden anyway. 
  I can browse the files via the bottom section even when hidden files are 
not showing..

My Computer
  A$ on client (A:)
  C$ on client (C:)
  D$ on client (D:)
  SYS (U:)   -- these are the local server drives
  APPS (V:)  -- these are the local server drives
  Control Panel
  Printers
Network Neighbourhood
Recycle Bin
compaq
cpqsystem
My Documents
Program Files
Temp
Wtsrv




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