File not found error when executing Shell in LS

Shell command in an agent being called from Web Query Save event is giving “HTTP Server: Agent message: Error in WQSgent1 on line 12: File not found”. It runs a batch file (c:\callfiles.bat) on domino server which then executes external java code. - I can run the batch file from the Domino server without any errors.

  • I get the same error when I run the batch file is simply performing dir command.

Agent is set to perform restricted operations and is included in the in the “Run restricted agents & unrestricted agents” in the security tab of the server document.

Any thoughts why I get this error?

thanks