Edits Needed On FreeNX Wiki
Phrakture, you need to update your FreeNX wiki:
The Listen Addresses line, i cannot just be 127.0.0.1 (No normal ssh connections allowed, it must also included the 0.0.0.0 address. See man sshd_config Listen Addresses. So the line must look like this:
ListenAddress 0.0.0.0 127.0.0.1
Otherwise the normal ssh connections are refused.