Ahhh, yes, I see... I can duplicate this as well.
My sequence was:

> cd c:\SourceCode\win32
> pspad pcbacdrop.cpp
> cd \Users\ascender\Downloads
> pspad wcmdline.cpp
> cd \notes

Then select File:New File - C/C++
This creates a file named "New2.c", with no path. (Hi Mr Pspad!  Sound
familiar?? 
:-P ).  Then, when I try to save, the path is c:\home... I'm not sure where it
got that path from.

I suspect that our author/maintainer is getting a bit tired of struggling with
derived/assumed paths....

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