diff --git a/OpenSim/Framework/Communications/Cache/CachedUserInfo.cs b/OpenSim/Framework/Communications/Cache/CachedUserInfo.cs
index f40f0787cc..1cbffc75f8 100644
--- a/OpenSim/Framework/Communications/Cache/CachedUserInfo.cs
+++ b/OpenSim/Framework/Communications/Cache/CachedUserInfo.cs
@@ -485,6 +485,14 @@ namespace OpenSim.Framework.Communications.Cache
         {
             if (HasInventory)
             {
+                if(item.Folder == LLUUID.Zero)
+                {
+                    InventoryFolderImpl f=FindFolderForType(item.AssetType);
+                    if(f != null)
+                        item.Folder=f.ID;
+                    else
+                        item.Folder=RootFolder.ID;
+                }
                 ItemReceive(item);
                 m_commsManager.InventoryService.AddItem(item);
             }
@@ -606,6 +614,22 @@ namespace OpenSim.Framework.Communications.Cache
                 return true;
             }
         }
+
+        private InventoryFolderImpl FindFolderForType(int type)
+        {
+            if(RootFolder == null)
+                return null;
+            
+            lock(RootFolder.SubFolders)
+            {
+                foreach (InventoryFolderImpl f in RootFolder.SubFolders.Values)
+                {
+                    if(f.Type == type)
+                        return f;
+                }
+            }
+            return null;
+        }
     }
 
     /// <summary>
diff --git a/OpenSim/Region/Environment/Scenes/Scene.Inventory.cs b/OpenSim/Region/Environment/Scenes/Scene.Inventory.cs
index 0ab8779701..53ae28f089 100644
--- a/OpenSim/Region/Environment/Scenes/Scene.Inventory.cs
+++ b/OpenSim/Region/Environment/Scenes/Scene.Inventory.cs
@@ -371,7 +371,7 @@ namespace OpenSim.Region.Environment.Scenes
                         itemCopy.Name = item.Name;
                         itemCopy.AssetType = item.AssetType;
                         itemCopy.InvType = item.InvType;
-                        itemCopy.Folder = recipientUserInfo.RootFolder.ID;
+                        itemCopy.Folder = LLUUID.Zero;
                         if (ExternalChecks.ExternalChecksPropagatePermissions())
                         {
                             if (item.InvType == 6)