This is a quote from the verifier text from the sr (5000646323) that you
mentioned in your post:
 
Error message 3050 is not in the manual.  The error is caused by using
the same name for the new sql environment and one of the mpe dbefile
names.  The following example will generate this error:
 
     isql> START DBE 'MYDBE' MULTI NEW DBEFILE0 DBEFILE DBEFILE0
     >WITH PAGES=50, NAME = 'MYDBE';
 
     File System Error - Privileged file violation.  (DBERR 3050)
 
 
Did you allow IMAGESQL to create the DBE for you or did you create it yourself?
 
 
Good Luck