Undefined function 'colordef' during matlabrc initialization

I recently installed some Windows 7 updates on my computer as it was nagging me to do so, and then upon launching Matlab 2012a (64bit version) after all the installation of updates to Windows, I got this brand new warning that I have never received before:

Warning: Initializing Handle Graphics failed in matlabrc.
This indicates a potentially serious problem in your MATLAB setup,
which should be resolved as soon as possible.  Error detected was:
MATLAB:UndefinedFunction
Undefined function 'colordef' for input arguments of type 'double'. 
> In matlabrc at 80

I checked pathdef, and it had the appropriate structure, and also included the path for the toolbox containing 'colordef':

matlabroot,'\toolbox\matlab\graph3d;', ...

I searched that folder and colordef.m was in that folder. I tried 'which -all colordef' and got this:

>> which -all colordef
'colordef' not found.

I am perplexed. I searched on this forum to see if others had similar issues, and almost all who seemed to have this issue before stated that they also had a problem with "pathdef" and fixing that solved their problems. But I don't seem to have a problem with pathdef. My path seems to be correct still matlab cannot find 'colordef'. Oddly, Matlab can find some other functions in graph3d perfectly fine, like:

>> which -all brighten
C:\Program Files\MATLAB\R2012a\toolbox\matlab\graph3d\brighten.m

In fact I have observed that Matlab is able to detect functions upto camlight, in alphabetical order, in the folder graph3d. Beyond that, it cannot see any more functions!!!

>> which -all camlight
C:\Program Files\MATLAB\R2012a\toolbox\matlab\graph3d\camlight.m
>> which -all camlookat
'camlookat' not found.
>> which -all hsv
'hsv' not found.
>> which -all mesh
'mesh' not found.

Can someone help me fix this bizarre problem?