Software Deployment

I am having problems running the my msi file, I get the Error 1309.Error reading from file: path name\*exe System error 3. Verify that the file exists and that you can access it.
I am running with administrator priviledges and it fails on XP and Vista.

I have pasted part of my log below:

MSI (s) (74:F0) [12:18:52:926]: File: C:\Program Files (x86)\HRH\Gravitas\Program\GrvDataService.exe; To be installed; Won't patch; No existing file
MSI (s) (74:F0) [12:18:52:926]: Source for file 'GrvDataService.exe' is uncompressed, at 'C:\installers\program files\HRH\Gravitas\Program\'.
InstallFiles: File: GrvDataService.exe, Directory: C:\Program Files (x86)\myapp\Program\, Size: 20480
MSI (s) (74:F0) [12:18:52:926]: Note: 1: 2318 2: C:\Program Files (x86)\myapp\Program\myapp.exe
MSI (s) (74:F0) [12:18:52:926]: Note: 1: 1309 2: 3 3: C:\installers\program files\myapp\Program\myapp.exe
MSI (s) (74:F0) [12:18:52:926]: Note: 1: 2318 2: C:\Program Files (x86)\myapp\Program\myapp.exe
MSI (s) (74:F0) [12:18:52:926]: Note: 1: 1309 2: 3 3: C:\installers\program files\myapp\Program\myapp.exe
MSI (s) (74:F0) [12:18:52:926]: Note: 1: 2318 2: C:\Program Files (x86)\myapp\Program\myapp.exe
MSI (s) (74:F0) [12:18:52:926]: Note: 1: 1309 2: 3 3: C:\installers\program files\myapp\Program\myapp.exe
MSI (s) (74:F0) [12:18:52:926]: Note: 1: 2318 2: C:\Program Files (x86)\myapp\Program\myapp.exe
MSI (s) (74:F0) [12:18:52:926]: Note: 1: 1309 2: 3 3: C:\installers\program files\myapp\Program\myapp.exe
MSI (s) (74:F0) [12:18:52:926]: Note: 1: 2318 2: C:\Program Files (x86)\myapp\Program\myapp.exe
MSI (s) (74:F0) [12:18:52:942]: Note: 1: 1309 2: 3 3: C:\installers\program files\myapp\Program\myapp.exe
MSI (s) (74:F0) [12:18:52:942]: Note: 1: 2318 2: C:\Program Files (x86)\myapp\Program\myapp.exe
MSI (s) (74:F0) [12:18:52:942]: Note: 1: 1309 2: 3 3: C:\installers\program files\myapp\Program\myapp.exe
Error 1309.Error reading from file: C:\installers\program files\myapp\Program\GrvDataService.exe. System error 3. Verify that the file exists and that you can access it.
MSI (s) (74:F0) [12:18:55:359]: Product: Gravitas -- Error 1309.Error reading from file: C:\installers\program files\HRH\Gravitas\Program\GrvDataService.exe. System error 3. Verify that the file exists and that you can access it.

Does anybody have any ideas how to fix the problem?

Thanks in advace