File not found Exception.. But it's there

Hey this is going to be one of those dumb questions. I am trying to pick up a file on my local system and I keep getting a FileNotFoundException thrown.

Someone set me straight please :)

if( File.Exists(@"C:\logs\hw-healthways-prod_2009-08-26.tar"))
{
     Console.WriteLine("Yay");
}
else
{
     throw new FileNotFoundException();   
}

Tried moving the file into the same location as the executing application and did the following:

 if( File.Exists("hw-healthways-prod_2009-08-26.tar"))

Same thing.

Then I made a random txt file and parked it there too.. "me.txt"

And it works?! So you thing the file name is the problem?