Folder level permissions in Sharepoint 2003

Is there a way to apply folder level permissions on Sharepoint 2003. I have a request to lock down a folder so only two upper level management users can access the documents. So far I have not been able to find a way to lock down the folders like NTFS. I can make a link to folders outside of sharepoint and lock those down but not from inside this a limitation of sharepoint 2003?
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Yes, it's a limitation that has since been resolved in 2007.

You could create new document libraries for each security containment you need, that also gives you a URL for each of the "folders" which are actually doc libraries.

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