"Your system folder path does not appear to be set correctly" in CI 2.0.2

[eluser]rubber.drummer[/eluser]
Hello,
I've just updated an app from 1.7.2 to 2.0.2 and I'm getting the error

Code:

Your system folder path does not appear to be set correctly. Please open the following file and correct this: index.php

my folder structure is like this:


app_name
|----- application
|----- CodeIgniter_202
| |--------- system
|----- index.php

Inside index.php:

Code:

/*
*---------------------------------------------------------------
* SYSTEM FOLDER NAME
*---------------------------------------------------------------
*
* This variable must contain the name of your "system" folder.
* Include the path if the folder is not in the same  directory
* as this file.
*
*/
    $system_path = 'CodeIgniter_202/system';

Running on LAMP - Ubuntu 11.04

Please any help is appreciated. Thank you.