Yes everything you mention was set up correctly and I had no issues with anything else during the rebuild. I did uninstall the aircraft this morning and noticed that the OC didnt uninstall and I couldnt find any way to do it manually, so I re-installed the aircraft anyway and the problem was still there. I then deleted all the dll files from the OC folder again and let it update once more. Seems like Im on a winner here as it looks ok so far. I can download extra liveries ok now.
I can understand your concerns about piracy but I assure you this is a legitimate problem with a legal copy.
Thanks for your help