Mar 06, 2015 08:23 AM|RedPhoenix15|LINK
The problem is solved. Apparently the account for Internet Information Services (IIS_IUSRS) did not have permissions to SET Passwords for Active directory. It could CHANGE passwords but not SET them.
To allow an ASP.NET page to SET an AD Password on account creation, I had to run "Active Directory Users and Computers", right-click the domain, select "Delegate Control". This opens a wizard which will allow you to grant the account IIS_IUSRS permissions
to make changes to AD.