It's there. This was an UPGRADE from 5.47 to 6.04e that worked PERFECTLY except for this small member problem and the problem with the "Who's Online" hack.
The directory is there and has the CHMOD of 777. However, I will say that 5-6 var files it won't let me modify the CHMOD on them even though they are set to 777. In other words, they say they are 777 but won't let me change them.
Hmmm...I will have to get my HOST involved in this....