Ad-hoc networks can't be deleted

Binary package hint: network-manager

I created an ad-hoc network with the "Create New Wireless Network" option. It worked fine after I realized the encryption settings didn't actually work (see Bug #322902). After I was done with it I wanted to go back to using my wireless connection. Selecting an AP from the list works fine but now every time I reboot or suspend/resume NM will create ad-hoc network. I've tried deleting all such networks from "Edit Connections->Wireless" but it keeps coming back. I now need to manually select an AP every time.

ProblemType: Bug
DistroRelease: Ubuntu 10.04
Package: network-manager 0.8-0ubuntu3
Uname: Linux 2.6.35-020635rc1-generic x86_64
Architecture: amd64
Date: Mon Aug 23 10:02:14 2010
EcryptfsInUse: Yes
IfupdownConfig:
 auto lo
 iface lo inet loopback
IpRoute:
 192.168.10.0/24 dev wlan0 proto kernel scope link src 192.168.10.5 metric 2
 169.254.0.0/16 dev wlan0 scope link metric 1000
 default via 192.168.10.1 dev wlan0 proto static
Keyfiles: Error: [Errno 2] No such file or directory
ProcEnviron:
 PATH=(custom, user)
 LANG=en_US.utf8
 SHELL=/bin/bash
SourcePackage: network-manager
WpaSupplicantLog: