Strange issue with USMT 5 messing up permissions on user created folders in C:\ location

I have a strange issue with USMT v5 not experienced with USMT v4.

Here's the scenario:

We are using SCCM for Zero Touch deployment. Workstations are already Windows 7. We deploy Windows 7 again to give the workstations a fresh corporate image. During ZTI USMT runs as a part of the normal task sequence. It backs up data locally using hardlink then after OS install restores data.

The problem:

If a user has created any folder on the root of C: for example C:\data after ZTI and data restoration the original user's permissions are screwed up. Once the user tries to access thier own files in the C:\data folder. They get access denied. Logging in with a new user ID (non admin) they will be able to access the user's files normally. 

The original user will see a nice "lock" icon symbol next to the files that were in the C:\data folder also.

I'm using the default Microsoft USMT v5 files and configs with no customization. Again, we did not have this issue with USMT v4. We need to go to USMT v5 because of Office 2013 support.

Just for fun here's some details before and after on permissions on test files:

See permissions here before ZTI on three test files:

test file.docx
D:(A;ID;FA;;;BA)(A;ID;FA;;;SY)(A;ID;0x1200a9;;;BU)(A;ID;0x1301bf;;;AU)
test file.txt
D:AI(A;ID;FA;;;BA)(A;ID;FA;;;SY)(A;ID;0x1200a9;;;BU)(A;ID;0x1301bf;;;AU)
test file.xlsx
D:AI(A;ID;FA;;;BA)(A;ID;FA;;;SY)(A;ID;0x1200a9;;;BU)(A;ID;0x1301bf;;;AU)

And now the permissions after ZTI on the same three files:

test file.docx
D:AI(A;ID;FA;;;SY)(A;ID;FA;;;BA)
test file.txt
D:AI(A;ID;FA;;;SY)(A;ID;FA;;;BA)
test file.xlsx
D:AI(A;ID;FA;;;SY)(A;ID;FA;;;BA)

I've had a ticket into Microsoft Premier support for a few weeks now. We aren't closer to any resolution so far. If anyone does have suggestions it would be greatly appreciated.