Hi Paul,
I might have found a solution to your problem of reappearing deleted folder.
Read my story:
I had the same problem as you describes. My deleted folder reappered not on my destop, but in the root directory. I knew that the folder was created by myself for temporary usage only as well, but I was not able to recall when and why because I had named it only with two letters. My empty "deleted" folder reappeared (better to say recreated - current date and time)not only after boot, but also when my notebook awakened from sleep state, after logging in or just anytime when I clicked with the right button on any file or folder in explorer. I searched for any help, but what I only found was your appeal.
And yesterday ... I needed to transfer some files from my girlfriend's notebook into my one via blouetooth. And when I was asked for confirmation of the transfer, everything was going to be clear. The offered path for received files was the constantly recreated folder. I created and choose, for experimental purpose, a new one, this time on my desktop, and transferred files. After that I deleted the previous reappearing folder, restarted and my suspicion that bluetooth had been (and is) to blame for this phenonomenon was confirmed. The previously reappearing deleted folder was not recreated any more, but the new (already empty and several times removed) folder used for the last bluetooth transfer was.
Thus, my solution to this problem is, for the time being (I hope it will be resolved some day), if I don't want such a deleted folder to be recreated/reappered, to use a permanent folder for file transfer via bluetooth.
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