sftp problem

Hi, I am trying to setup a remote account and it uses sftp. When I connect, it asks for a password, connects and displays the <sftp> prompt for about 1 second. Then it exits with the error message sftp> Warning: child process (/usr/local/bin/ssh2) exited with code 0. Anyone know what causes this? Ssh2 works by itself. -- $|=1;while(1){print pack("h*",'75861647f302d4560275f6272797f3');sleep(1); for(1..16){for(8,32,8,7){print chr($_);}select(undef,undef,undef,.05);}}