After a Folder Redirection element is processed the users home folder incorrectly gets renamed to My Documents.
The issue is caused by not having a shell folder defined in the Folder Redirection element.
The path in the "Redirect to folder" field in the Folder Redirection element should include the desired shell folder.
An example of this path syntax is:
The Desktop Authority client will create and redirect the shell folder.
Microsoft has identified this as a known configuration issue and released the following KB:
Additionally, the users home folder should get configured via ADUC using the Micorsoft KB: