explorer does not create the folder either. Yes, it's a CreateFile call, but only with read attributes and with "list" access, i.e. explorer tries to list the files inside it.
And the TSVNCache process monitors the file system for changes, and if it detects a change it determines whether it should query those changes to update the overlays.
Also: the folder was created at 14:31:23, but the cache process accesses it at 14:32:48, so there's quite some time between the creation and when the cache queries it.
Stefan