Hey Karl,
Are you using the AutomaticUpdater, or are using wyUpdate as a standalone updater? The reason I ask is that if you're using wyUpdate running as a standalone updater (and you check an executable to be launched after your update) wyUpdate will run that under the admin account.
However if you're using the AutomaticUpdater, wyUpdate will start your app as the same user and elevation as Windows Explorer.
"Why does this matter?", you ask.
You can't drag and drop between processes of differing users and/or user levels (e.g. elevated, non-elevated, admin, non-admin, etc).
So, let me ask again: Are you using the AutomaticUpdater, or are using wyUpdate as a standalone updater?