BlueTooth connectivity problem: help please

I just bought a Bluetooth Mate Gold and a Bluetooth USB Module Mini:

http://www.sparkfun.com/products/9358

http://www.sparkfun.com/products/9434

I have written a Pong Program. If you are familiar with the book by Tom Igoe “Making Things Talk” it is the same program that he outlines in his book.

I have been able to get this script working; Both the Arduino code and the Processing script works when the Arduino is connected via USB.

Next I inserted the BlueTooth module into the breadboard and untether the Arduino so it is running off a 9V battery.

I can see a connection has been made with the blueTooth module because the light turns constant green. But it appears it is not sending data back to the processing script.

I would love some help with this problem. Are there any known issues with bluetooth connectivity I should know?, maybe more specificaly with this module?

If you need me to post images of my breadboard or my processing and arduino code let me know, anything to help me solve this problem would be much appreciated.

Thank you.