OpenSSH - sftp not working for non-Administrator users

[Doug Lim]

I've just installed Cygwin and OpenSSH on a Windows Server 2003 box with 
the goal of allowing sftp access to users.
I'm testing with the Administrator account and two non-administrator 
accounts. I am able to login via SSH to a bash
shell using all three accounts, however, when I try to connect to the 
server with sftp (using OpenSSH sftp on a linux
box and Filezilla on a Windows XP Pro box) I can connect and use sftp 
when logging in as the Administrator, but when
I connect using one of the non-Administrator accounts, the password is 
accepted and then the server immediately
closes the connection.

I'm trying to lock down the filesystem, removed the Users NT group from 
the entire D: Drive. Cygwin is installed on the
D: drive, so I've re-added the Users NT group back to D:\Cygwin with 
Read & Execute, List Folder Contents, and Read
permissions. I intend to give users access to selected IIS web sites by 
granting a user full control of their web site area
and by setting up a symlink from their home directory to the specific 
web site root.

I have verified that .bashrc isn't echoing back any extraneous info to 
non-interactive logins as follows (which I've read
causes problems with sftp connections).

$ ssh user@<myhost> /usr/bin/true
produces no output after keying in the user password.

If I then add one of the non-Administrator accounts to the 
Administrators group, sftp then begins working as expected
for that user.

The following are the contents of /etc/ssh_config on that server:
#       $OpenBSD: ssh_config,v 1.23 2007/06/08 04:40:40 pvalchev Exp $

# This is the ssh client system-wide configuration file.  See
# ssh_config(5) for more information.  This file provides defaults for
# users, and the values can be changed in per-user configuration files
# or on the command line.

# Configuration data is parsed as follows:
#  1. command line options
#  2. user-specific file
#  3. system-wide file
# Any configuration value is only changed the first time it is set.
# Thus, host-specific definitions should be at the beginning of the
# configuration file, and defaults at the end.

# Site-wide defaults for some commonly used options.  For a comprehensive
# list of available options, their meanings and defaults, please see the
# ssh_config(5) man page.

# Host *
#   ForwardAgent no
#   ForwardX11 no
#   RhostsRSAAuthentication no
#   RSAAuthentication yes
#   PasswordAuthentication yes
#   HostbasedAuthentication no
#   GSSAPIAuthentication no
#   GSSAPIDelegateCredentials no
#   BatchMode no
#   CheckHostIP yes
#   AddressFamily any
#   ConnectTimeout 0
#   StrictHostKeyChecking ask
#   IdentityFile ~/.ssh/identity
#   IdentityFile ~/.ssh/id_rsa
#   IdentityFile ~/.ssh/id_dsa
#   Port 22
#   Protocol 2,1
#   Cipher 3des
#   Ciphers 
aes128-cbc,3des-cbc,blowfish-cbc,cast128-cbc,arcfour,aes192-cbc,aes256-cbc
#   MACs hmac-md5,hmac-sha1,umac-64@openssh.com,hmac-ripemd160
#   EscapeChar ~
#   Tunnel no
#   TunnelDevice any:any
#   PermitLocalCommand no

Any ideas on getting sftp to work properly for non-Administrator users?

Thanks in advance.



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