CRM 2011, Unable to Change Domain Logon Name error

After setting-up a new CRM server I tried to add new users. Unfortunatelly I got an exception:
Unable to Change Domain Logon Name.

Users I wanted to add had SystemAdministrator role.

Edit registry entry at HKEY_LOCAL_MACHINE\SOFTWARE\Microsoft\MSCRM and change AutoGroupManagementOff to 1. After that reset IIS and try to add user again.


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