That's right, Robert. Using the -p switch the program first tries to find a dcsettings.ini file on the program folder, if it doesn't exist then goes to %APPDATA%\Disk Cleaner — if this doesn't exist neither then it creates that folder and file. That's why the first time used -even with the -p switch- the program creates that undesired location.

Create an empty dcsettings.ini on the Disk Cleaner folder before the first run and add the -p parameter. That will do it.
Cheers.

To adhere to Vista/7 defaults, Disk Cleaner no longer writes to the application folder by default, but to the users %APPDATA% folder instead. Old behavior (that is, portable) is still supported by running Disk Cleaner with the -p command line switch.

DC writes settings to Disk Cleaner folder in user's %APPDATA% folder

It's not writes settings to application folder !!
It's writes to:
C:\Documents and Settings\user\Programdata\Disk Cleaner

And I use version 1.6.1273.6980 without installer !!

No longer listing zip package.

@madartists, Disc Cleaner cleans up things that many cleaners seem to miss, for instance I run CCleaner first and then Disk Cleaner and it still finds entries that CCleaner has missed. It's free open source software. It has plug-ins which are essentially plain-text files, so given the time you could write your own plug-in.

I didn't like this much at all and don't see where it offers any great advantages compared to similar programs.

Yes, I'll be surprised if it is not limited to the current user, since that will be a major security hole!

this application will only clear the Temporary Internet Files, History, Cookies, etc for the currently logged in user account, correct?