I have determined that Microsoft Security Essentials is definitely preventing the move of TIF. Manually disabling MSE (or uncheck MSCONFIG -> startup) allows me to move TIF.
So, at this point, I've got them moved.
It is somewhat interesting that you can't move them using Control Panel -> Internet Options applet. You can only do it via IE -> Options (same applet).
I also had this problem but have it working now. These were my steps:
I. Opened IE Options Window
2. Clicked on Browser history settings
3. Clicked on Move Folder
4. Selected folder on the other drive
5. After a few seconds I was brought back to IE Options window
6. Clicked OK and I was told that I would be logged out for move to complete
7. I logged back in and the folder was moved to the other disk.
If you have problems I would check security of folder that you are moving the file to. Make sure it's at least the same permissions as the Temporary Internet Files folder itself.
Good Luck, Ralph:)
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