Hey djsanta,
i think you have the same problem i had, its an apache rewrite_mod problem
i compiled my own copy of apache fom source. but things like rewrite_mod is not working properly.
i found a temporary fix. Go in your site admin panel in WP. Click options and go to permalinks. Choose the default option
Anyone else have a fix?
I still miss the custom WP error pages and the pretty URLs
EDIT: I found the fix. Htaccess need to be enabled in other to work.
http://forum.mamboserver.com/showthread.php?t=27768
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PS: djsanta, try transmit for ftp client. Its a shareware buts its good
http://www.panic.com/transmit/