i can telnet to my sendmail

[Jason Balicki]

Ok, I got your output on the iptables and it doesn't appear to
be firewalled off, but in case there's an alias that I glossed
over do:

iptables -F

to flush the rules temporarily.

(WARNING: this flushes ALL your firewall rules --
which since it's sitting behind an existing router and only
port 25 is getting hit, it's not doing anything anyway.  Just
don't sit the box directly on the Internet)

Also, someone else mentioned this, but look in your sendmail.cf
for the line:

O DaemonPortOptions=Port=smtp,Addr=127.0.0.1, Name=MTA

And either comment it out or change the Addr to your
local IP.

Actually, try this bit first, then try the iptables -F

--J(K)