Add a new DB2 Catalog entry in Toad's Client Config Wizard gives 0 0 message and does not create the entry. Also gives the error: Unable to init API env. (4235092)

or

SQL5005N: Unable to init API env

Check that the Windows Groups DBADMNS and DB2USERS exists.  If the DB2 Client was installed as Administrator, then this should be there.  If the DB2 Client installation lacked Admin Rights, please re-install it and ensure the user has Full Admin Rights on both the local machine and the company's network domain. 

Add the regular Windows ID into the DB2ADMNS / DB2USERS Group. 

The machine may need to be rebooted, after the Windows ID is added to the Group, to have the privileges take effect.