After a long day of banging the head at the wall i found the problems, or at least enough to move forward.
corvette123: What Interface, well I am using solderless breadboards.
It was as I thought a combination of several factors.
I was using a MAX232n, changed this to a Maxim Max232CPE
which solved the inicial RS232 communication problems.
Updated the firmware, this was tricky at first when needing the DTR RTS, I did try a 7404 as some people suggest but that didnt work so I just used another Max232 and WALA, updated ( I could not do this before when having RS232 problems ). Why this didnt work witha 7407 I do not know, maybe my circuit is not perfect but I will have another bash at that later to see what cases the problem.
Enabled API, this allowed port functions to be used, did not see that surprize in the manual.
Added some extra capacitors to clean up the voltage levels, didnt realise how bad they were until I probed them with a scope.
One hour ago, went over the steps corvette123 suggested and each worked perfectly.
Just running the AD sample test that is listed in the manual, its now running like an angel with 758,982 bytes of test data sent since i started to type this.
I hope you do not mind i may have some additional questions later regarding polling remotes for data and setting remote features etc…
I guess after this last 5 days of trying many things, I got to learn how to solve a lot of problems.
So, a great big thanks to you guys especially corvette123 for your help and thanks to Sparkfun for this forum.