When you applied the permissions did you set it for this object "and all child objects" (had to ask,sorry). Is the "apply to objects only in this container within advanced ticked for your permissions?
Maybe, if only Domain Admins have permissions then AD doesn't have the ability to change them. Can you add SYSTEM with full control?
Maybe use adsiedit.msc as well to check and/or add permissions?
Also try clicking the "default" button for permissions?
Finally who is down in the "owner" tab?
cheers
Andy