@Bruno, Thanks for the prompt reply I found the function you specified in admin.py, following the error.
This won't work, the function needs the *request* var. So if not request.env.web2py_runtime_gae: can't be put there. Also I tried putting passing *request* as argument in * create_missing_folders()* main.py where it is being called. So what I did currently is comment out the call to this function in main.py. But this doesn't seems like the right solution.

