Comment 11 for bug 15514

Problem happens here in a brand new Ubuntu 8.04, with Gnome.
I edited /etc/default/rcS as it is shown below and problem persists:

#
# /etc/default/rcS
#
# Default settings for the scripts in /etc/rcS.d/
#
# For information about these variables see the rcS(5) manual page.
#
# This file belongs to the "initscripts" package.

TMPTIME=0
SULOGIN=no
DELAYLOGIN=no
UTC=no
VERBOSE=no
FSCKFIX=no

===

Also I tried symlinking or copying the timezone from /usr/share/zoneinfo to /etc/localtime, rebooting several times, but no success. The only thing that worked for me was setting the time by hand. I have no "UTC" option on the applet, looks like gnome removed the checkbox, as I verifed with some other users.