diff --git a/reactos/dll/win32/samsrv/samrpc.c b/reactos/dll/win32/samsrv/samrpc.c
index dc12d216c31..3b42f573f4d 100644
--- a/reactos/dll/win32/samsrv/samrpc.c
+++ b/reactos/dll/win32/samsrv/samrpc.c
@@ -1770,6 +1770,8 @@ SamrCreateGroupInDomain(IN SAMPR_HANDLE DomainHandle,
     SAM_GROUP_FIXED_DATA FixedGroupData;
     PSAM_DB_OBJECT DomainObject;
     PSAM_DB_OBJECT GroupObject;
+    PSECURITY_DESCRIPTOR Sd = NULL;
+    ULONG SdSize = 0;
     ULONG ulSize;
     ULONG ulRid;
     WCHAR szRid[9];
@@ -1814,6 +1816,15 @@ SamrCreateGroupInDomain(IN SAMPR_HANDLE DomainHandle,
         goto done;
     }
 
+    /* Create the security descriptor */
+    Status = SampCreateGroupSD(&Sd,
+                               &SdSize);
+    if (!NT_SUCCESS(Status))
+    {
+        TRACE("SampCreateGroupSD failed (Status 0x%08lx)\n", Status);
+        goto done;
+    }
+
     /* Get the fixed domain attributes */
     ulSize = sizeof(SAM_DOMAIN_FIXED_DATA);
     Status = SampGetObjectAttribute(DomainObject,
@@ -1910,6 +1921,18 @@ SamrCreateGroupInDomain(IN SAMPR_HANDLE DomainHandle,
         goto done;
     }
 
+    /* Set the SecDesc attribute*/
+    Status = SampSetObjectAttribute(GroupObject,
+                                    L"SecDesc",
+                                    REG_BINARY,
+                                    Sd,
+                                    SdSize);
+    if (!NT_SUCCESS(Status))
+    {
+        TRACE("failed with status 0x%08lx\n", Status);
+        goto done;
+    }
+
     if (NT_SUCCESS(Status))
     {
         *GroupHandle = (SAMPR_HANDLE)GroupObject;
@@ -1917,6 +1940,9 @@ SamrCreateGroupInDomain(IN SAMPR_HANDLE DomainHandle,
     }
 
 done:
+    if (Sd != NULL)
+        RtlFreeHeap(RtlGetProcessHeap(), 0, Sd);
+
     RtlReleaseResource(&SampResource);
 
     TRACE("returns with status 0x%08lx\n", Status);
@@ -2848,7 +2874,7 @@ SamrCreateAliasInDomain(IN SAMPR_HANDLE DomainHandle,
         goto done;
     }
 
-    /* Set SecDesc attribute*/
+    /* Set the SecDesc attribute*/
     Status = SampSetObjectAttribute(AliasObject,
                                     L"SecDesc",
                                     REG_BINARY,
diff --git a/reactos/dll/win32/samsrv/samsrv.h b/reactos/dll/win32/samsrv/samsrv.h
index fcc5c62a1da..91427a0d523 100644
--- a/reactos/dll/win32/samsrv/samsrv.h
+++ b/reactos/dll/win32/samsrv/samsrv.h
@@ -332,6 +332,10 @@ NTSTATUS
 SampCreateAliasSD(OUT PSECURITY_DESCRIPTOR *AliasSd,
                   OUT PULONG Size);
 
+NTSTATUS
+SampCreateGroupSD(OUT PSECURITY_DESCRIPTOR *GroupSd,
+                  OUT PULONG Size);
+
 
 /* setup.c */
 
diff --git a/reactos/dll/win32/samsrv/security.c b/reactos/dll/win32/samsrv/security.c
index f18fdf3beee..dab82ad12b9 100644
--- a/reactos/dll/win32/samsrv/security.c
+++ b/reactos/dll/win32/samsrv/security.c
@@ -1147,4 +1147,290 @@ done:
 }
 
 
+NTSTATUS
+SampCreateGroupSD(OUT PSECURITY_DESCRIPTOR *GroupSd,
+                  OUT PULONG Size)
+{
+    PSECURITY_DESCRIPTOR AbsSD = NULL;
+    PSECURITY_DESCRIPTOR RelSD = NULL;
+    PSID EveryoneSid = NULL;
+    PSID AnonymousSid = NULL;
+    PSID AdministratorsSid = NULL;
+    PSID AccountOperatorsSid = NULL;
+    PACL Dacl = NULL;
+    PACL Sacl = NULL;
+    ULONG DaclSize;
+    ULONG SaclSize;
+    ULONG RelSDSize = 0;
+    NTSTATUS Status = STATUS_SUCCESS;
+
+
+    /* Create the Everyone SID */
+    Status = RtlAllocateAndInitializeSid(&WorldAuthority,
+                                         1,
+                                         SECURITY_WORLD_RID,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         &EveryoneSid);
+    ASSERT(NT_SUCCESS(Status));
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    /* Create the Anonymous SID */
+    Status = RtlAllocateAndInitializeSid(&NtAuthority,
+                                         1,
+                                         SECURITY_ANONYMOUS_LOGON_RID,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         &AnonymousSid);
+    ASSERT(NT_SUCCESS(Status));
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    /* Create the Administrators SID */
+    Status = RtlAllocateAndInitializeSid(&NtAuthority,
+                                         2,
+                                         SECURITY_BUILTIN_DOMAIN_RID,
+                                         DOMAIN_ALIAS_RID_ADMINS,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         &AdministratorsSid);
+    ASSERT(NT_SUCCESS(Status));
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    /* Create the Account Operators SID */
+    Status = RtlAllocateAndInitializeSid(&NtAuthority,
+                                         2,
+                                         SECURITY_BUILTIN_DOMAIN_RID,
+                                         DOMAIN_ALIAS_RID_ACCOUNT_OPS,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         0,
+                                         &AccountOperatorsSid);
+    ASSERT(NT_SUCCESS(Status));
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    /* Allocate a buffer for the absolute SD */
+    AbsSD = RtlAllocateHeap(RtlGetProcessHeap(),
+                            HEAP_ZERO_MEMORY,
+                            sizeof(SECURITY_DESCRIPTOR));
+    if (AbsSD == NULL)
+    {
+        Status = STATUS_INSUFFICIENT_RESOURCES;
+    ASSERT(Status == STATUS_SUCCESS);
+        goto done;
+    }
+
+    /* Create the absolute SD */
+    Status = RtlCreateSecurityDescriptor(AbsSD,
+                                         SECURITY_DESCRIPTOR_REVISION);
+    ASSERT(NT_SUCCESS(Status));
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    /* allocate and create the DACL */
+    DaclSize = sizeof(ACL) + 
+               3 * sizeof(ACE) +
+               RtlLengthSid(EveryoneSid) +
+               RtlLengthSid(AdministratorsSid) +
+               RtlLengthSid(AccountOperatorsSid);
+
+    Dacl = RtlAllocateHeap(RtlGetProcessHeap(),
+                           HEAP_ZERO_MEMORY,
+                           DaclSize);
+    if (Dacl == NULL)
+    {
+        Status = STATUS_INSUFFICIENT_RESOURCES;
+    ASSERT(Status == STATUS_SUCCESS);
+        goto done;
+    }
+
+    Status = RtlCreateAcl(Dacl,
+                          DaclSize,
+                          ACL_REVISION);
+    ASSERT(NT_SUCCESS(Status));
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    Status = RtlAddAccessAllowedAce(Dacl,
+                                    ACL_REVISION,
+                                    READ_CONTROL | GROUP_LIST_MEMBERS | GROUP_READ_INFORMATION,
+                                    EveryoneSid);
+    ASSERT(NT_SUCCESS(Status));
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    Status = RtlAddAccessAllowedAce(Dacl,
+                                    ACL_REVISION,
+                                    GROUP_ALL_ACCESS,
+                                    AdministratorsSid);
+    ASSERT(Status == STATUS_SUCCESS);
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    Status = RtlAddAccessAllowedAce(Dacl,
+                                    ACL_REVISION,
+                                    GROUP_ALL_ACCESS,
+                                    AccountOperatorsSid);
+    ASSERT(Status == STATUS_SUCCESS);
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    /* Set the DACL */
+    Status = RtlSetDaclSecurityDescriptor(AbsSD,
+                                          TRUE,
+                                          Dacl,
+                                          FALSE);
+    ASSERT(Status == STATUS_SUCCESS);
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    /* allocate and create the SACL */
+    SaclSize = sizeof(ACL) + 
+               2 * sizeof(ACE) +
+               RtlLengthSid(EveryoneSid) +
+               RtlLengthSid(AnonymousSid);
+
+    Sacl = RtlAllocateHeap(RtlGetProcessHeap(),
+                           HEAP_ZERO_MEMORY,
+                           DaclSize);
+    if (Sacl == NULL)
+    {
+        Status = STATUS_INSUFFICIENT_RESOURCES;
+    ASSERT(Status == STATUS_SUCCESS);
+        goto done;
+    }
+
+    Status = RtlCreateAcl(Sacl,
+                          SaclSize,
+                          ACL_REVISION);
+    ASSERT(Status == STATUS_SUCCESS);
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    Status = RtlAddAuditAccessAce(Sacl,
+                                  ACL_REVISION,
+                                  ACCESS_SYSTEM_SECURITY | WRITE_DAC | DELETE |
+                                  GROUP_REMOVE_MEMBER | GROUP_ADD_MEMBER |
+                                  GROUP_WRITE_ACCOUNT,
+                                  EveryoneSid,
+                                  TRUE,
+                                  TRUE);
+    ASSERT(Status == STATUS_SUCCESS);
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    Status = RtlAddAuditAccessAce(Sacl,
+                                  ACL_REVISION,
+                                  STANDARD_RIGHTS_ALL | SPECIFIC_RIGHTS_ALL,
+                                  AnonymousSid,
+                                  TRUE,
+                                  TRUE);
+    ASSERT(Status == STATUS_SUCCESS);
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    /* Set the SACL */
+    Status = RtlSetSaclSecurityDescriptor(AbsSD,
+                                          TRUE,
+                                          Sacl,
+                                          FALSE);
+    ASSERT(Status == STATUS_SUCCESS);
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    /* Set the owner SID */
+    Status = RtlSetOwnerSecurityDescriptor(AbsSD,
+                                           AdministratorsSid,
+                                           FALSE);
+    ASSERT(Status == STATUS_SUCCESS);
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    /* Set the group SID */
+    Status = RtlSetGroupSecurityDescriptor(AbsSD,
+                                           AdministratorsSid,
+                                           FALSE);
+    ASSERT(Status == STATUS_SUCCESS);
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    /* Get the reqired buffer size for the self-relative SD */
+    Status = RtlAbsoluteToSelfRelativeSD(AbsSD,
+                                         NULL,
+                                         &RelSDSize);
+    if (Status != STATUS_BUFFER_TOO_SMALL)
+        goto done;
+
+    /* Allocate a buffer for the self-relative SD */
+    RelSD = RtlAllocateHeap(RtlGetProcessHeap(),
+                            HEAP_ZERO_MEMORY,
+                            RelSDSize);
+    if (RelSD == NULL)
+    {
+        Status = STATUS_INSUFFICIENT_RESOURCES;
+    ASSERT(Status == STATUS_SUCCESS);
+        goto done;
+    }
+
+    /* Convert the absolute SD to self-relative format */
+    Status = RtlAbsoluteToSelfRelativeSD(AbsSD,
+                                         RelSD,
+                                         &RelSDSize);
+    if (Status == STATUS_BUFFER_TOO_SMALL)
+    {
+    ASSERT(Status == STATUS_SUCCESS);
+        goto done;
+    }
+
+    *GroupSd = RelSD;
+    *Size = RelSDSize;
+
+done:
+    if (!NT_SUCCESS(Status))
+    {
+        if (RelSD != NULL)
+            RtlFreeHeap(RtlGetProcessHeap(), 0, RelSD);
+    }
+
+    if (EveryoneSid != NULL)
+        RtlFreeSid(EveryoneSid);
+
+    if (AnonymousSid != NULL)
+        RtlFreeSid(AnonymousSid);
+
+    if (AdministratorsSid != NULL)
+        RtlFreeSid(AdministratorsSid);
+
+    if (Dacl != NULL)
+        RtlFreeHeap(RtlGetProcessHeap(), 0, Dacl);
+
+    if (Sacl != NULL)
+        RtlFreeHeap(RtlGetProcessHeap(), 0, Sacl);
+
+    if (AbsSD != NULL)
+        RtlFreeHeap(RtlGetProcessHeap(), 0, AbsSD);
+
+    return Status;
+}
+
 /* EOF */
diff --git a/reactos/dll/win32/samsrv/setup.c b/reactos/dll/win32/samsrv/setup.c
index 1f1b531809c..ad758cadca7 100644
--- a/reactos/dll/win32/samsrv/setup.c
+++ b/reactos/dll/win32/samsrv/setup.c
@@ -264,6 +264,8 @@ SampSetupCreateGroupAccount(HANDLE hDomainKey,
     WCHAR szAccountKeyName[32];
     HANDLE hAccountKey = NULL;
     HANDLE hNamesKey = NULL;
+    PSECURITY_DESCRIPTOR Sd = NULL;
+    ULONG SdSize = 0;
     NTSTATUS Status;
 
     /* Initialize fixed group data */
@@ -305,6 +307,21 @@ SampSetupCreateGroupAccount(HANDLE hDomainKey,
     if (!NT_SUCCESS(Status))
         goto done;
 
+    /* Create the security descriptor */
+    Status = SampCreateGroupSD(&Sd,
+                               &SdSize);
+    if (!NT_SUCCESS(Status))
+        goto done;
+
+    /* Set the SecDesc attribute*/
+    Status = SampRegSetValue(hAccountKey,
+                             L"SecDesc",
+                             REG_BINARY,
+                             Sd,
+                             SdSize);
+    if (!NT_SUCCESS(Status))
+        goto done;
+
     Status = SampRegOpenKey(hDomainKey,
                             L"Groups\\Names",
                             KEY_ALL_ACCESS,
@@ -321,6 +338,9 @@ SampSetupCreateGroupAccount(HANDLE hDomainKey,
 done:
     SampRegCloseKey(&hNamesKey);
 
+    if (Sd != NULL)
+        RtlFreeHeap(RtlGetProcessHeap(), 0, Sd);
+
     if (hAccountKey != NULL)
     {
         SampRegCloseKey(&hAccountKey);