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Latest Serv-U Hotfix breaks WinSCP file uploads over SFTP (No such file)

We have installed your latest hotfix (15.1 HOTFIX 2 & 3) on our servers and now no one can upload files via SFTP using WinSCP (any version). You are presented with an error "No such file" when you attempt upload via SFTP (port 22). It is possible to overwrite existing files but not upload any new ones.

FTPS is fine, SFTP is broken and only through WinSCP. Enabling extra SFTP logging for showed it not working for WinSCP and working fine for FileZilla. I have attached the two logs.

This all worked in the previous versions of Serv-U and we have had customers report this as well as testing internally.

Urgent fix required as ALL uploads are broken and WinSCP is a very popular SFTP client.

Anyone else having the same issue?

attachments.zip