Yes, I can confirm it's a bug in GX, just like in the previous version I referred to and the bit I quoted on the previous post, and like Krank just confirmed too.
When loading from FAT32 GX always reverts to using cIOS222 regardless of the settings.
I just installed cIOS222 and it's working just fine.
Cile, do you still want me to do a syscheck?
If you uninstall Hermes you will be able to recreate this problem.