Hmmm, not sure what the problem could be. Did you change the password-based authentication from the default yes to "no"? Try creating a test jail and choose the defaults for creating a new user instead of the ones you used and see if that makes a difference. I seem to remember reading something about that setting and would recommend the defaults for authentication.
Hi,
Yes, I tried it both ways (with and without password), since I hit a wall on both attempts I decided to go without for ease. But the same error occurred regardless of pure default, or not. I have a "before step one" freenas config saved, and I revert back to that each time I try again.
Thanks,