C# Shell32 - Error: The system cannot find the file specified.

Hello,

I am using Shell32 to unzip files, but am getting the famous vague error:
The system cannot find the file specified. (Exception from HRESULT: 0x80070002). The error is thrown at the srcFlder declaration.

Here is my code - Any help is appreciated:

Code:

DirectoryInfo di = new DirectoryInfo(@"C:\Test\");
            
            foreach (FileInfo fi in di.GetFiles("*.zip"))
            {
                foreach (DirectoryInfo dir in destinationDir)
                {                                     
                    String file = fi.ToString();
                    var destinationPath = @"C:\AppName\";
                    if (!Directory.Exists(destinationPath))
                        Directory.CreateDirectory(destinationPath);

                    Shell sh = new Shell();     
                    Folder destFlder = sh.NameSpace(destinationPath);
                    Folder srcFlder = sh.NameSpace(fi.FullName);
                    foreach (FolderItem F in srcFlder.Items()) 
                           { destFlder.CopyHere(F,null); }                                

                }
            }