Hi, we're having the same problem with a computer here.
We have just received one new Dell OptiPlex 380 and installed Windows 7 on it.
Everything seemed to have been installing fine, joined it to our domain, logged in as the user who is getting the desktop.
Tried logging as myself (domain admin) and hung on Welcome screen.
Pressed power button, you can see an error regarding Adobe Flash ActiveX install.
We guessed this was a Group Policy error as we recently added a Flash install to our Group Policy, however, this is the only computer with that problem.
Since the user's account wasn't having any problems we ignored it at first.
After setting the computer up with specialised software we realised the user needed administrative rights to run it so we logged in to the local admin account and elevated the user's privileges. Upon attempting to log in with said user - now with local administrator privileges we were stuck at the welcome screen again.
I feel it might have something to do with being a domain account with local admin privileges and having a newer version of flash than our Group policy attempts to install.
For what it's worth, Adobe Reader has recently been updated to version X which most of our other computers don't have yet. Perhaps this may be related.
Our next step is disabling group policy and seeing how it goes.