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--- rubygems-0.9.1/lib/rubygems.rb.orig 2007-02-12 15:36:46.000000000 -0800
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+++ rubygems-0.9.1/lib/rubygems.rb      2007-02-12 15:43:35.000000000 -0800
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@@ -457,7 +457,9 @@
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       if defined? RUBY_FRAMEWORK_VERSION
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         return File.join(File.dirname(Config::CONFIG["sitedir"]), "Gems")
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       else
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-        File.join(Config::CONFIG['libdir'], 'ruby', 'gems', Config::CONFIG['ruby_version'])
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+        gemdir = File::expand_path(File::join(Config::CONFIG["sitedir"],"..","gems"))
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+
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+        File.join(gemdir, Config::CONFIG['ruby_version'])
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       end
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     end
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