So, I just wasted about half an hour trying to figure this bug out. A web search shows that I’m not unique in encountering this issue. So, I’m hoping that posted the solution here might lend a hand to some other poor soul who’s stuck in the same boat.
Problem: I had a directory that appeared in Windows Explorer and Command Prompt, but acted as if it didn’t exist. It would issue the following error messages: “Could not find this item… This is no longer located in PATH. Verify the item’s location and try again.”
Solution:
Run the Windows Command Prompt (CMD)
WinXP: Start → Run → cmd
WinVista: Start → Start Search → cmd
Navigate to the directory containing the problem file/directory