diff -up mc-4.6.2-pre1/src/subshell.c.shellcwd mc-4.6.2-pre1/src/subshell.c
--- mc-4.6.2-pre1/src/subshell.c.shellcwd	2008-09-02 11:28:31.000000000 +0200
+++ mc-4.6.2-pre1/src/subshell.c	2008-09-02 11:41:39.000000000 +0200
@@ -562,9 +562,6 @@ int invoke_subshell (const char *command
 
     feed_subshell (how, FALSE);
 
-    if (new_dir && subshell_alive && strcmp (subshell_cwd, current_panel->cwd))
-	*new_dir = subshell_cwd;  /* Make MC change to the subshell's CWD */
-
     /* Restart the subshell if it has died by SIGHUP, SIGQUIT, etc. */
     while (!subshell_alive && !quit && use_subshell)
 	init_subshell ();