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URGENT! Unable to Send mail - message "550 Open relay not allowed"

I am getting the following error Non delivery report when trying to send mail:

Your message did not reach some or all of the intended recipients.

      Subject:      RE:
      Sent:      06/11/2006 13:45

The following recipient(s) could not be reached:

      'Stephen.Gillham@fos.net' on 06/11/2006 13:45
            There was a SMTP communication problem with the recipient's email server.  Please contact your system administrator.
            <ymca-server.ymca-gwc.local #5.5.0 smtp;550 Open relay not allowed>


I have checked the relay settings and all appear normal.  I have tried recreating the default SMTP Virtual Server to no avail.  

I get the following error messages in the event logs:


Event Type:      Error
Event Source:      MSExchangeTransport
Event Category:      SMTP Protocol
Event ID:      7004
Date:            06/11/2006
Time:            13:28:57
User:            N/A
Computer:      YMCA-SERVER
Description:
This is an SMTP protocol error log for virtual server ID 1, connection #7. The remote host "212.2.3.136", responded to the SMTP command "rcpt" with "550 Open relay not allowed  ". The full command sent was "RCPT TO:<stephen.gillham@fos.net>  ".  This will probably cause the connection to fail.

For more information, click http://www.microsoft.com/contentredirect.asp.


and


Event Type:      Warning
Event Source:      MSExchangeTransport
Event Category:      NDR
Event ID:      3022
Date:            06/11/2006
Time:            13:28:58
User:            N/A
Computer:      YMCA-SERVER
Description:
A non-delivery report with a status code of 5.5.0 was generated for recipient rfc822;stephen.gillham@fos.net (Message-ID <F6632B2AAF498F468A14172673FEB6B32DCE@ymca-server.ymca-gwc.local>).  
Cause:  This message indicates a generic protocol error (SMTP error).  For example, the remote SMTP responds to an issued EHLO with a 500 level error and the sending system will QUIT the connection and report this with NDR indicating the remote SMTP server canÆt handle the protocol.    
Solution:  View the SMTP log or run a netmon trace to see why the remote SMTP server rejects the protocol request.

For more information, see Help and Support Center at http://go.microsoft.com/fwlink/events.asp.

Please help a.s.a.p

Thanks


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Sembee
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The party that you are sending to believes that you are an open relay. Have you checked to see whether that is the case?

Simon.
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ASKER

as far as I am aware we are not, also this message does not appear to be leaving the server.  as we use an external Anti-SPAM solution I will check with them if they are blocking it and report back here.  
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ASKER

Our Spam guys report no issues (other than the lack of mail flowing through the service)

suggestions please?  I'm thinking of re-installing IIS and Exchange

Thanks
Are you using Symantec AntiVirus Corporate Edition 9.0 on Exchange 2000 or Exchange Server 2003, and the Internet E-Mail Auto-Protect feature is enabled then this will happen.
By disabling the Internet E-Mail Auto-Protect feature of Symantec Antivirus Corporate Edition 9.X, messages can be delivered out.
Check this as well:

How to troubleshoot mail relay issues in Exchange Server 2003 and in Exchange 2000 Server

http://support.microsoft.com/kb/895853/en-us
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Sembee
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ASKER

yes we are, although I don't believe that it is really a MIMEcast issue as their  NDR's normally contain a notice to say that it came from them.  
Their server rejected the message:

The remote host "212.2.3.136", responded to the SMTP command "rcpt"

Simon