diff --git a/code/FileSystemFilter.h b/code/FileSystemFilter.h
index 2504e8566..707a94b61 100644
--- a/code/FileSystemFilter.h
+++ b/code/FileSystemFilter.h
@@ -172,7 +172,7 @@ private:
 	void BuildPath (std::string& in) const
 	{
 		// if we can already access the file, great.
-		if (in.length() < 3 || wrapped->Exists(in.c_str())) {
+		if (in.length() < 3 || wrapped->Exists(in)) {
 			return;
 		}
 
@@ -180,8 +180,25 @@ private:
 		if (in[1] != ':') {
 		
 			// append base path and try 
-			in = base + in;
-			if (wrapped->Exists(in.c_str())) {
+			const std::string tmp = base + in;
+			if (wrapped->Exists(tmp)) {
+				in = tmp;
+				return;
+			}
+		}
+		
+		// Chop of the file name and look in the current directory
+		size_t pos = in.rfind("/");
+		if (std::string::npos == pos) {
+			pos = in.rfind("\\");
+		}
+
+		if (std::string::npos != pos)	{
+			std::string tmp = ".";
+			tmp += wrapped->getOsSeparator();
+			tmp += in.substr(pos+1, in.length()-pos); 
+			if (wrapped->Exists(tmp)) {
+				in = tmp;
 				return;
 			}
 		}
diff --git a/code/LWSLoader.cpp b/code/LWSLoader.cpp
index 6519805e8..54a15d0f9 100644
--- a/code/LWSLoader.cpp
+++ b/code/LWSLoader.cpp
@@ -452,8 +452,9 @@ std::string LWSImporter::FindLWOFile(const std::string& in)
 	}
 	else tmp = in;
 
-	if (io->Exists(tmp))
+	if (io->Exists(tmp)) {
 		return in;
+	}
 
 	// file is not accessible for us ... maybe it's packed by 
 	// LightWave's 'Package Scene' command?
@@ -468,8 +469,10 @@ std::string LWSImporter::FindLWOFile(const std::string& in)
 		return test;
 
 	test = ".." + io->getOsSeparator() + test; 
-	if (io->Exists(test))
+	if (io->Exists(test)) {
 		return test;
+	}
+
 
 	// return original path, maybe the IOsystem knows better
 	return tmp;