diff --git a/rhodecode/tests/functional/test_admin_users.py b/rhodecode/tests/functional/test_admin_users.py
--- a/rhodecode/tests/functional/test_admin_users.py
+++ b/rhodecode/tests/functional/test_admin_users.py
@@ -1,11 +1,13 @@
 from rhodecode.tests import *
-from rhodecode.model.db import User
+from rhodecode.model.db import User, Permission
 from rhodecode.lib.auth import check_password
 from sqlalchemy.orm.exc import NoResultFound
+from rhodecode.model.user import UserModel
 
 class TestAdminUsersController(TestController):
 
     def test_index(self):
+        self.log_user()
         response = self.app.get(url('users'))
         # Test response...
 
@@ -21,30 +23,31 @@ class TestAdminUsersController(TestContr
         lastname = 'lastname'
         email = 'mail@mail.com'
 
-        response = self.app.post(url('users'), {'username':username,
-                                               'password':password,
-                                               'password_confirmation':password_confirmation,
-                                               'name':name,
-                                               'active':True,
-                                               'lastname':lastname,
-                                               'email':email})
+        response = self.app.post(url('users'), 
+                                 {'username':username,
+                                   'password':password,
+                                   'password_confirmation':password_confirmation,
+                                   'name':name,
+                                   'active':True,
+                                   'lastname':lastname,
+                                   'email':email})
 
 
-        assert '''created user %s''' % (username) in response.session['flash'][0], 'No flash message about new user'
+        self.assertTrue('''created user %s''' % (username) in 
+                        response.session['flash'][0])
 
-        new_user = self.Session.query(User).filter(User.username == username).one()
-
+        new_user = self.Session.query(User).\
+            filter(User.username == username).one()
 
-        assert new_user.username == username, 'wrong info about username'
-        assert check_password(password, new_user.password) == True , 'wrong info about password'
-        assert new_user.name == name, 'wrong info about name'
-        assert new_user.lastname == lastname, 'wrong info about lastname'
-        assert new_user.email == email, 'wrong info about email'
-
+        self.assertEqual(new_user.username,username)
+        self.assertEqual(check_password(password, new_user.password),True)
+        self.assertEqual(new_user.name,name)
+        self.assertEqual(new_user.lastname,lastname)
+        self.assertEqual(new_user.email,email)
 
         response.follow()
         response = response.follow()
-        assert """edit">newtestuser</a>""" in response.body
+        self.assertTrue("""edit">newtestuser</a>""" in response.body)
 
     def test_create_err(self):
         self.log_user()
@@ -61,9 +64,9 @@ class TestAdminUsersController(TestContr
                                                'lastname':lastname,
                                                'email':email})
 
-        assert """<span class="error-message">Invalid username</span>""" in response.body
-        assert """<span class="error-message">Please enter a value</span>""" in response.body
-        assert """<span class="error-message">An email address must contain a single @</span>""" in response.body
+        self.assertTrue("""<span class="error-message">Invalid username</span>""" in response.body)
+        self.assertTrue("""<span class="error-message">Please enter a value</span>""" in response.body)
+        self.assertTrue("""<span class="error-message">An email address must contain a single @</span>""" in response.body)
 
         def get_user():
             self.Session.query(User).filter(User.username == username).one()
@@ -71,6 +74,7 @@ class TestAdminUsersController(TestContr
         self.assertRaises(NoResultFound, get_user), 'found user in database'
 
     def test_new(self):
+        self.log_user()
         response = self.app.get(url('new_user'))
 
     def test_new_as_xml(self):
@@ -100,14 +104,17 @@ class TestAdminUsersController(TestContr
 
         response = response.follow()
 
-        new_user = self.Session.query(User).filter(User.username == username).one()
+        new_user = self.Session.query(User)\
+            .filter(User.username == username).one()
         response = self.app.delete(url('user', id=new_user.user_id))
 
-        assert """successfully deleted user""" in response.session['flash'][0], 'No info about user deletion'
+        self.assertTrue("""successfully deleted user""" in 
+                        response.session['flash'][0])
 
 
     def test_delete_browser_fakeout(self):
-        response = self.app.post(url('user', id=1), params=dict(_method='delete'))
+        response = self.app.post(url('user', id=1), 
+                                 params=dict(_method='delete'))
 
     def test_show(self):
         response = self.app.get(url('user', id=1))
@@ -116,7 +123,57 @@ class TestAdminUsersController(TestContr
         response = self.app.get(url('formatted_user', id=1, format='xml'))
 
     def test_edit(self):
-        response = self.app.get(url('edit_user', id=1))
+        self.log_user()
+        user = User.get_by_username(TEST_USER_ADMIN_LOGIN)
+        response = self.app.get(url('edit_user', id=user.user_id))
+
+
+    def test_add_perm_create_repo(self):
+        self.log_user()
+        perm_none = Permission.get_by_key('hg.create.none')
+        perm_create = Permission.get_by_key('hg.create.repository')
+
+        user = User.get_by_username(TEST_USER_REGULAR_LOGIN)
+
+
+        #User should have None permission on creation repository
+        self.assertEqual(UserModel().has_perm(user, perm_none), False)
+        self.assertEqual(UserModel().has_perm(user, perm_create), False)
+
+        response = self.app.post(url('user_perm', id=user.user_id),
+                                 params=dict(_method='put',
+                                             create_repo_perm=True))
+
+        perm_none = Permission.get_by_key('hg.create.none')
+        perm_create = Permission.get_by_key('hg.create.repository')
+
+        user = User.get_by_username(TEST_USER_REGULAR_LOGIN)
+        #User should have None permission on creation repository
+        self.assertEqual(UserModel().has_perm(user, perm_none), False)
+        self.assertEqual(UserModel().has_perm(user, perm_create), True)
+
+    def test_revoke_perm_create_repo(self):
+        self.log_user()
+        perm_none = Permission.get_by_key('hg.create.none')
+        perm_create = Permission.get_by_key('hg.create.repository')
+
+        user = User.get_by_username(TEST_USER_REGULAR2_LOGIN)
+
+
+        #User should have None permission on creation repository
+        self.assertEqual(UserModel().has_perm(user, perm_none), False)
+        self.assertEqual(UserModel().has_perm(user, perm_create), False)
+
+        response = self.app.post(url('user_perm', id=user.user_id),
+                                 params=dict(_method='put'))
+
+        perm_none = Permission.get_by_key('hg.create.none')
+        perm_create = Permission.get_by_key('hg.create.repository')
+
+        user = User.get_by_username(TEST_USER_REGULAR2_LOGIN)
+        #User should have None permission on creation repository
+        self.assertEqual(UserModel().has_perm(user, perm_none), True)
+        self.assertEqual(UserModel().has_perm(user, perm_create), False)
 
     def test_edit_as_xml(self):
         response = self.app.get(url('formatted_edit_user', id=1, format='xml'))