Configuration settings - restore system config fail

Since update to 7.5 HF3 my task to add the machine to domain fails. I am using "Restore system configuration using inventory data" option with the correct credentials. All the machine does is stay in the workgroup its in, and the tasks comes up as successful. I checked the machine in the console before I ran this job and it was showing as in the domain. there are no errors in NetSetup log file in windows. All I see is it is adding it to workgroup and no mention of domain.!

p.s. the Apply system configuration works if its a new machine.

Any ideas!