Hey.
hmm. this sounds like a bug.
can you post the file with all metadata needed in a zip file ?
if you can't post the data, please send me a PM with your mail address.
as a workaround for now:
try to use the con() from the raster calculator tool in ArcGIS to move up all points in the file by 50 meters. Then, in CE, use the terrain's vertical offset to move the terrain down by 50 meters.
Matt