That’s strange, it did work for me ok – and I see same fix said to work – also WS 2003 SP2, albeit EE rather than SE – in the comments at http://www.windowsitpro.com/article/ftp/using-the-built-in-windows-ftp-client

Reboots shouldn’t be necessary, but you could double check your settings have taken effect in the command window before you start ftp with “set temp” and “set tmp”. And obviously be careful you’re not working in the C: drive when starting ftp, or use ftp’s “lcd” command to move out of C: before the get – maybe do both if there is any room for doubt such as when running this from scheduled task. And I prefer to keep things simple in ftp with ‘cd’ first followed by ‘get filename’ without any directory/folder prefixes in front of the filename.

All the alternative FTP programs for Windows I know of are interactive GUIs, good for one off use but not for scheduled tasks.

Microsoft support might be needed if nothing else works.