We are having trouble Java 7 Update 5 32 bit. It is not a problem with not removing the old version of Java as this happens on newly built workstation too.

The user is presented with the following message:

The program cannot be started because MSVCR100.dll is missing from your computer. Try reinstalling the program to fix this problem.
Comparing this station to one where java was installed locally [not by Group Policy/MSI] I find that the file IS on the HDD in the two locations where it should be:

C:\Program Files (x86)\Java\jre7\bin and C:\Program Files (x86)\Java\jre7\bin\plugin2

The Event Log isn't much help. It does show a warning message about Group Policy Services but nothing specific about Java:

The description for Event ID 4098 from source Group Policy Services cannot be found. Either the component that raises this event is not installed on your local computer or the installation is corrupted. You can install or repair the component on the local computer.
Anyone else having the same problem?