Telnet: error connection refused
 

I have got a 98 machine that i use a telnet program called tadlink to connect. The problem is when i connect with this telnet session it says error: connection refused.

I can ping both ways with no problem.

when i connect 98 to another RH box there is no problem it telnets fine, so i am sure that its the fir RH 9 box

Please help urgently. I am a newb to linux so you might have to go into details as what to do

sounds like the telnet daemon might not be running, or possibly a firewall issue on your linux box.
from the command line type
if you get a line returned with telnetd in it then the process is running, otherwise it isn't.
to get it to run,
then
first line tells it to start at bootup, second tells it to start now.

I get

error reading information: no such file or directory

for which bit? when you try chkconfig or service? or both probably?
is telnetd even on your system?
try,
also are you running these commands with root privileges