diff --git a/mercurial/localrepo.py b/mercurial/localrepo.py
--- a/mercurial/localrepo.py
+++ b/mercurial/localrepo.py
@@ -128,6 +128,7 @@ class localrepository(repo.repository):
         if not path.startswith(self.root):
             return False
         subpath = path[len(self.root) + 1:]
+        normsubpath = util.pconvert(subpath)
 
         # XXX: Checking against the current working copy is wrong in
         # the sense that it can reject things like
@@ -149,9 +150,9 @@ class localrepository(repo.repository):
         ctx = self[None]
         parts = util.splitpath(subpath)
         while parts:
-            prefix = os.sep.join(parts)
+            prefix = '/'.join(parts)
             if prefix in ctx.substate:
-                if prefix == subpath:
+                if prefix == normsubpath:
                     return True
                 else:
                     sub = ctx.sub(prefix)
diff --git a/mercurial/scmutil.py b/mercurial/scmutil.py
--- a/mercurial/scmutil.py
+++ b/mercurial/scmutil.py
@@ -85,6 +85,7 @@ class pathauditor(object):
         '''Check the relative path.
         path may contain a pattern (e.g. foodir/**.txt)'''
 
+        path = util.localpath(path)
         normpath = self.normcase(path)
         if normpath in self.audited:
             return
diff --git a/mercurial/subrepo.py b/mercurial/subrepo.py
--- a/mercurial/subrepo.py
+++ b/mercurial/subrepo.py
@@ -92,7 +92,7 @@ def state(ctx, ui):
                     src = remapped
 
         src = remap(src)
-        state[path] = (src.strip(), rev.get(path, ''), kind)
+        state[util.pconvert(path)] = (src.strip(), rev.get(path, ''), kind)
 
     return state