Index: vfs_recycle.c
===================================================================
--- vfs_recycle.c	(revision 22072)
+++ vfs_recycle.c	(working copy)
@@ -311,6 +311,33 @@
 }
 
 /**
+ * Check if needle is contained in haystack starting at first positon
+ * @param haystack list of parameters separated by delimimiter character
+ * @param needle string to be matched exactly to haystack
+ * @return True if found
+ **/
+static BOOL checkdirparam(const char **haystack_list, const char *needle)
+{
+	int i;
+
+	if (haystack_list == NULL || haystack_list[0] == NULL ||
+		*haystack_list[0] == '\0' || needle == NULL || *needle == '\0') {
+		return False;
+	}
+
+	for(i=0; haystack_list[i] ; i++) {
+		char	*phaystack;
+
+      phaystack = haystack_list[i] + strlen(haystack_list[i]) - 1;
+      if (phaystack[0] != '/') return False;
+		if (strncmp(haystack_list[i], needle, strlen(haystack_list[i])) == 0)
+         return True;
+	}
+
+	return False;
+}
+
+/**
  * Check if needle is contained exactly in haystack
  * @param haystack list of parameters separated by delimimiter character
  * @param needle string to be matched exactly to haystack
@@ -488,8 +515,12 @@
 	/* FIXME: this check will fail if we have more than one level of directories,
 	 * we shoud check for every level 1, 1/2, 1/2/3, 1/2/3/4 .... 
 	 * 	---simo
+	 * This is an attempt to fix the problem. Directories in the list must end with
+	 * a '/', then this is used in the comparison. If a directory is excluded, all
+	 * child directories are also excluded.
+	 *  --- jon gough
 	 */
-	if (checkparam(recycle_exclude_dir(handle), path_name)) {
+	if (checkdirparam(recycle_exclude_dir(handle), path_name)) {
 		DEBUG(3, ("recycle: directory %s is excluded \n", path_name));
 		rc = SMB_VFS_NEXT_UNLINK(handle, file_name);
 		goto done;