Error: "Enable Auto Login has not been applied"

[Wirezfree]

Hi,

A fresh clean new install of LL 2.2, immediately followed by "Install Updates"
Install all went fine, no errors or warnings during the install.
Carried out all my usual set-up actions, like I have done "many/many" times..

I then went to enable "Auto Login"
Menu > System >Login Settings > "Enable Auto Login"

I get the usual:


then I get prompted for my password, which I enter.
Then after a second or so I get:


and Auto Login does not work.

I have seen the message on Auto Login Bug, but I ran the install updates immediately after install
http://tiny.cc/lightdm-link1

There is another Thread about adding a user in lightdm.conf, which is not present on this install.
Also an indication of creating one manually.
http://tiny.cc/lightdm-link2

Any suggestions/pointers welcome.

I'm unable to include formatted url links in this post else I get Server Error messages..!!!!

Thanks... Dave