ok -well whilst trying to fix this I'm using my account which is a domain admin account....and this is listed under local adminstrators group for that server
that folder has administrators set to full access....hence why I can delete it manually -
the syatem account also has full access.....
i've reset permissions and owner.... still get the same.....
like I say, I can find a good few that match this problem across our domain....
I notice this only happens on compressed files....