A suicidal batting collapse by Yorkshire led to their dreams of a Lord's final being shattered by Warwickshire who beat them by four wickets at Headingley.
The unfancied visitors now go through to the semi-finals of the Cheltenham and Gloucester Trophy.
The defeat was all the harder to stomach after Yorkshire had only two days earlier fired out the same opponents for 59 to win the Norwich Union clash by 175 runs.
Despite having Darren Gough and Craig White back in their side, Yorkshire were unable to cause the same havoc as Warwickshire moved determinedly to their target of 189.
But it was the batsmen to blame for Yorkshire's demise, the last five wickets crashing in 25 balls for 15 runs.
There were still 35 balls to go when the last wicket fell and the collapse later drew a sharp response from disappointed coach Wayne Clark.
"It was just rubbish to lose five wickets in the way we did and to be all out with four overs remaining was criminal," he said.
Put in to bat, Yorkshire looked comfortable at 173 for five in the 45th over but it was the running out of Anthony McGrath that opened the floodgates.
It was a tough way for McGrath to go because he had batted soundly and sensibly and was looking all set for his maiden century in the competition. He played well on both sides of the wicket, striking eight fours off the 136 balls he received.
Richard Blakey was caught behind off his first ball and Gough was at the crease as both Byas and Ryan Sidebottom were also run out before last man Steve Kirby swished at his second ball to give wicketkeeper Keith Piper his fourth catch of the innings.
Yorkshire had started badly with the early dismissal of Matthew Wood, who was not by himself in getting out to a wild shot, but Gavin Hamilton then helped McGrath stage a recovery with a second wicket stand of 63 before having a big swing at Mo Sheikh and being bowled.
With Chris Silverwood being omitted as a precautionary measure because of a slight back strain, Kirby shared the new ball with Gough whose first ball was a bouncer which struck Knight on the side of his protective helmet and left him dazed before continuing.
For the first time since joining Yorkshire, Kirby lacked control and he was replaced by Hamilton after three overs had cost him 21 runs. In his first over Hamilton was cut savagely to backward point by Wagh and Gary Fellows clung on to a brilliant diving catch low to his left.
Strangely, Hamilton was allowed only two overs and did not return to the attack but the introduction of White and Sidebottom gave Yorkshire grounds for optimism as Warwickshire lost three wickets in three overs and were struggling on 63 for four.
Sidebottom, easily the pick of Yorkshire's six bowlers, found plenty of movement to have both Knight and Michael Powell caught behind while White also had David Hemp taken by Blakey.
Warwickshire could have folded but in came Trevor Penney to hold things together with a composed 58 not out off 80 balls with six fours and a six to snatch the man-of-the-match award.
On the way he slammed Fellows over mid-wicket for six before hitting the next ball through extra cover for four and neither the return of Gough nor White was able to unsettle him.
lLeft-arm fast bowler Paul Hutchison is all set to quit his native county at the end of the season. The 23-year-old paceman, brought up with Bradford League club Pudsey St Lawrence, has been told by coach Clark that he does not figure in his first plans.
l Draw for the C&G Trophy semi-finals is: Somerset v Warwickshire, Leicestershire v Lancashire. Ties on August 11 and 12.
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