Wrong Path

When I type my website as http://www.sitec.com/blog it changes the URL of the site to http://www.sitec.com/websites/sitec/blog. However, if I type the website as http://www.sitec.com/blog/ it stays the same.

Now for the login problem, when I go to http://www.sitec.com/blog/wp-admin it goes to the login as usual. The difference is that URL does this: http://www.sitec.com/blog/wp-login.php?redirect_to=http%3A%2F%2Fwww.sitec.com%2Fwebsites%2Fsitec%2Fblog%2Fwp-admin%2Findex.php.

I found out if I manually remove the query string redirect_to, everything works the way it was suppose to until I need to resubmit again. The resubmit problem only happens for just a few but essential forums. Whenever I submit something, the redirect_to GET query string appears again.

The blog somewhat works now but only if I manually remove the query strings. I also installed WP 2.7 and the problem still exists there.

I took a closer look at the <form> using firebug and noticed that this tag:
<input type=”hidden” value=”/website/sitec/blog/wp-admin/options-general.php” name=”_wp_http_referer”/>
now appears. The value of _wp_http_referer is where the redirect_to query is where my site is being redirected to.

How is the _wp_http_referer formed? Is it using some type of internal path finding? It doesn’t seem to be using the wp_options.siteurl or wp_options.home. Is this a problem I can easily fix?