Believe me, I know how frustrating installations can be. As I have an older Windows system it usually takes quite an effort to find compatible new software that will still work.
My "version" and "environment" are
It may be inconsequential but my installation directory and gem path are the same.
- VERSION: 0.9.4 (0.9.4)
- INSTALLATION DIRECTORY: C:/RUBY/lib/ruby/gems/1.8
- GEM PATH:
- REMOTE SOURCES:
As you have 2 gem paths, does one contain ver. 1.3.1 and the other 1.0.1 ??
Before you uninstall everything (is there an uninstall.exe file there ??) it may be helpful to delete the 1.0.1 folder wherever it is (assuming there is one somewhere) and doing another update first. Of course if the problem is a corrupt file somewhere, then a reinstall would probably be easier than trying to find the problem file(s).