problem with sshd version OpenSSH_2.5.2p2

["Miguel S. Filipe" <mmsf@rnl.ist.utl.pt>]

Hi to all, here is my problem:

i can't login!

--(m3thos#:~/data/mp3/tmp)-- ssh localhost
m3thos@localhost's password:
Permission denied, please try again.

-(taken from: /var/log/auth.log)-
Mar 28 20:08:53 foton sshd[7963]: Failed password for m3thos from 
127.0.0.1 port 1181
Mar 28 20:08:59 foton sshd[7963]: Connection closed by 127.0.0.1



the only problem is that i am *ABSOLUTLY SURE*	that i'm typing the right 
password, this happens with all users.. and i've tried to connect from 
other hosts has well.. but.. it allways fails to login..
this package was instaled through dselect, (using the default config 
files..) This also happened before with a "out of the box" openssh 2.5.1p1..
I have also runned ssh -v localhost.. everything looks just like if i 
typed the wrong password.. no warnings.. no errors.. just a failed login.

what could it be?
TIA
from:
				Miguel Sousa Filipe ( from Portugal )