Comment # 3 on bug 996166 from
permissions look okay:

f: /usr/local/dnsmasq/hosts
 drwxr-xr-x root    root /
 drwxr-xr-x root    root usr
 drwxr-xr-x root    root local
 drwxr-xr-x root    root dnsmasq
 drwxr-xr-x dnsmasq pdns hosts


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