The client had installed Package Service on the Symantec Management Platform Server. Because of this the Package Server was attempting to download a copy of the Ghost Image as it should, however the snapshot xml which was created for the Ghost package was pointing to the original source of the Ghost Image (\Program Files\Altiris\Altiris Agent\Agents\Deployment\Task Handler\Images), thus overwriting the data and causing the image to become corrupted.
Package Server was installed on the Symantec Management Platform Server. This is against best practice. If a Package Server is required in your environment, please create a Site Server.
Uninstalled Package Server from the Symantec Management Platform. This stopped the Ghost Image from being overwritten.
Deployment Solution 7.X
Symantec Management Platform 7.x