I tried the last official 0.7.1 RC1 on Windows 7 and was browsing through debug.log. One line was drawing my attention:
<pre> 10/11/12 20:10:57 Default data directory C:\Users\Diapolo\AppData\Roaming\Bitcoin 10/11/12 20:10:57 Used data directory 10/11/12 20:10:57 </pre>
Seems like pszDataDir (https://github.com/bitcoin/bitcoin/blob/master/src/init.cpp#L483) does NOT contain what it should print there. I currently have no time to investigate, but to me this seems to be a problem with https://github.com/bitcoin/bitcoin/blob/master/src/init.cpp#L443.
(RC1 does not include #1901, which could be a cause? - As the build is from 2012-10-09 it is not :-D.) Perhaps the call to GetDataDir() with .string().c_str() attached causes a problem, because it's the first one (caching issue), I dunno.