Unable to install July 2021 rollup patches on Windows 2012 R2 KB5004285 KB5004298

I am having trouble installing the recent July rollup updates KB5004298 and KB5004285. Updates install fine but after reboot it rolls back. I have tried installing each one individually, used sfc/dism, cleaned up C:\Windows\Temp, cleaned and reset windows update, installed manually, installed direct from MS instead of WSUS, etc. CBS.log seems to give some relevant information but I have not been able to figure out where to go next.

IF you are facing the same issue with installing updates please find the solution below.

the error is caused by the July update. For that create the below 2 folder if they do not exist

Basically, make sure these directories exist (even if they are empty)
C:\Windows\System32\Macromed\Flash
C:\Windows\SysWOW64\Macromed\Flash

Hope it helps someone.

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