Index: branches/unlabeled/unlabeled-1.3.2/core/units/general/helpers/recursive_helper.php
===================================================================
diff -u -r7036 -r7061
--- branches/unlabeled/unlabeled-1.3.2/core/units/general/helpers/recursive_helper.php	(.../recursive_helper.php)	(revision 7036)
+++ branches/unlabeled/unlabeled-1.3.2/core/units/general/helpers/recursive_helper.php	(.../recursive_helper.php)	(revision 7061)
@@ -74,10 +74,21 @@
 			$id_field = $this->Application->getUnitOption('c', 'IDField');
 			$table_name = $this->Application->getUnitOption('c', 'TableName');
 
-			$sql = 'UPDATE '.$table_name.'
-					SET ParentId = '.$dest_category_id.'
-					WHERE '.$id_field.' IN ('.implode(',', $category_ids).')';
-			$this->Conn->Query($sql);
+			// do not move categories into their children
+			$sql = 'SELECT ParentPath
+					FROM '.$table_name.'
+					WHERE '.$id_field.' = '.$dest_category_id;
+			$dest_parent_path = explode('|', substr($this->Conn->GetOne($sql), 1, -1));
+			
+			$child_categories = array_intersect($dest_parent_path, $category_ids); // get categories, then can't be moved
+			$category_ids = array_diff($category_ids, $child_categories); // remove them from movable categories list
+			
+			if ($category_ids) {
+				$sql = 'UPDATE '.$table_name.'
+						SET ParentId = '.$dest_category_id.'
+						WHERE '.$id_field.' IN ('.implode(',', $category_ids).')';
+				$this->Conn->Query($sql);
+			}
 		}
 
 		/**