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Hi,
The permissions problem is highly likely is the user a member of the ORA_DBA group?
In my experience the ORA-12560 TNS error is a direct result of the NT service not being started or being buggered - technical term 
If permissions are not the issue I suggest to attempt to recreate the service before doing a restore.
Regards
Jim
Oracle Certified Professional
"Build your reputation by helping other people build theirs."
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