Sloppy, not uncommon for GDI+. This fixes it:
Bitmap orig = new Bitmap(@"c:\temp\24bpp.bmp");
Bitmap clone = new Bitmap(orig.Width, orig.Height,
System.Drawing.Imaging.PixelFormat.Format32bppPArgb);
using (Graphics gr = Graphics.FromImage(clone)) {
gr.DrawImage(orig, new Rectangle(0, 0, clone.Width, clone.Height));
}
// Dispose orig as necessary...