Sorry, silly question, I should have read the previous posts again.
It may be that the drivers which come with bluez aren't the correct ones for the chipset in your BT dongle, then again it may be a limitation of the host driver. Do you know which it is?
I plugged my BT and WiFi dongles in the other day and neither worked (as expected) as I'd not installed any extra drivers. I will, in the fullness of time, work out what chipset and therefore driver they require and see if I can get them working. I'd be interested to hear whether the 2.4.18 cfu1-driver can drive these things anyway (due to the driver limitations) - I'm running 2.6.12-blah on my Z which is supposed to have a better implementation of the cfu1 driver.
Si