exim.conf: mail delivery notices go to bjb@isp instead of bjb@localhost

["Brenda J. Butler" <bjb@achilles.net>]

I have exim, fetchmail, .forward, procmail and mutt configured
to deliver mail to folders in my mail directory based on what
mailing list the mail is coming from - it all seems to work ok.

My problem is that when I send out mail, if my local exim
has a delivery problem, it sends the complaint to bjb@isp,
rather than to bjb@localhost.  So the mail goes to bjb@isp,
then comes back to me through fetchmail.

The worse problem is that mail to root on my system goes
to root@achilles.net, rather than to root@localhost.

I think the problem has to do with my "smarthost" settings,
but I'm not sure what....

Can anyone tell me where to look in my config files, or
in the documentation?  Keywords to search for?

My exim.conf file has the following in it (among other
things):

---------------8<-------------------

qualify_domain = achilles.net  # my isp
local_domains = "localhost"
local_domains_include_host = true
local_domains_include_host_literals = true

system_aliases:
  driver = aliasfile
  file = /etc/aliases
  search_type = lsearch
# user = list
# Uncomment the above line if you are running smartlist


lookuphost:
  driver = lookuphost
  transport = remote_smtp

#smarthost:
# driver = domainlist
# transport = remote_smtp
# route_list = "* aa.bb.cc.dd bydns_a"

---------------8<-------------------

(Where aa.bb.cc.dd is some machine at my isp, but not a nameserver
machine.  This seems to have been configured automatically, I
don't remember doing it.)

-- 
bjb@achilles.net