Is this ntfs by any chance?
Is it possible that while your sharing permissions are set to Full-Access or Write, the file system 
permissions are set to read-only for this particular user?
If that's the case it sorta does explain why you're unable to set the sharing permissions properly 
(in a broken kind of way).

> New Info:
> When I mount the XP directory I notice that the bits change to turning off
> write access to the mounted directory on the Linux side.  I noticed that
> properties for the folder on my XP machine show that the directory is
> "Read-only" (in fact every directory is designated as such).  I can not turn
> this off.  If I try to it acts as though it does it(applies without an error
> message) but when you bring up the properties again it it "Read-only" again.
> I am researching the meaning of this "Read-only" it does not seem to have
> the same implications that it would suggest since there in the sharing tab
> you can set the permissions of the share.  But it still could be hindering
> the transfer.


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