Credit to ManiacMan if it is the problem.
This problem stems from the way drives are mapped as it uses the original and cached credentials to authenticate to the mapped drives. If the network drives were mapped when the PC was still in a workgroup, those local credentials were used to map. If the machine is later joined to the domain, guess which credentials are still being used to map to the network drives? Yes, the old local user credentials which are now invalid, yet when the user double clicks on the disconnected drive, it's accessible because NTFS and share permissions are enumerated and realize that the user does have the proper permissions indeed. There is a slight reg hack that needs to done to get rid of the disconnected drives. Here it is:
run regedit and navigate to the following key:
HKEY_CURRENT_USER\SOFTWARE\MICROSOFT\WINDOWS\CURRENTVERSION\
EXPLORER\MOUNTPOINT2
For each disconnected network drive letter, create a new key under Mointpoint2 to be the name of the disconnected drive letter (e.g. G for G: drive...do not use the colon in key name)
Under the newly created key, create a new string called BaseClass and give it a value of Drive
Repeat this process for every disconnected network drive letter and then close the registry.
Reboot the PC and proceed to remove the disconnected network drive(s). This reg hack will need to be repeated on every machine with this problem, servers included.