I am following this guide
( Virtual Mailhosting System with Postfix Guide)
http://www.gentoo.org/doc/en/virt-mail-howto.xml

I set up the users in mysql table and when I go log in through squirrelmail I get

ERROR:
Unknown error: [ALERT] Fatal error: .maildir: Permission denied

The permissions are set to 700 on the file. The owner of the maildir is the user the email was sent to. The directory was created automatically when I sent the first email to the user. The mail is getting to the maildir because I can see it when I go to the maildir.

Changing the permissions on the folder to 777

It logs me in but I get
ERROR: Connection dropped by IMAP server.
Query: SUBSCRIBE "INBOX.Sent"
(on the left bar)
and

ERROR: Could not complete request.
Query: SELECT "INBOX"
Reason Given: Unable to open this mailbox.
(on the top.)

I am using sendmail and have gamin installed.

From My Logs:
May 9 22:35:55 www imapd-ssl: chdir .maildir: Permission denied


I was also succesful in sending mail with mailx.

Ok silly mistake that might bite you in the butt!!!

make sure that the uid and gid values are correct. Thats what was wrong.