Importing an .EPS file comes up with error

Operating System : Windows XP SP 3 , Inkscape Version : 0.48.0 r965
I downloaded Inkscape to my PC and installed it recently. I tried to import an .eps file and it comes up with an error message
Error reading temporary SVG file: [Errno 2] No such file or directory: 'c:\docume~1\auysaler\locals~1\temp\tmp2wpcxf.svg'
When I click on accept it points me to my temp folder file path. Later it just opens a blank document.
I see that it is not able to create a folder in the temp directory for some reason and keeps coming back with this error message.
Has anyone come across this error message?
