Everything works fine in nxTools; it would have been more helpful if you had the exact error message.
If you were to enter the command "SITE PRE freeware Some_Directory" while inside the "/GROUPS/BLAH/" directory, the pre group check would display one of the following:
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Your group(s) are not allowed to pre to the "<section>" area.
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None of the groups the user is have access to the freeware section. To correct this, enter the command "SITE EDITPRE ADDGRP freeware <group>".
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Your group "<group>" is not allowed to pre from this path.
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The group that has access to the freeware is not allowed to pre from the current directory. To correct this, enter the command "SITE EDITPRE ADDPATH <group> /GROUPS/BLAH/".