On many systems you have to use inetd to start telnetd. On one system, a slax system , I think, I had to add an entry to the configuration file /etc/inetd.conf, and then restart inetd, even after installing telnetd.
I don't have the exact entry, but google would tell you John -- To UNSUBSCRIBE, email to debian-user-requ...@lists.debian.org with a subject of "unsubscribe". Trouble? Contact listmas...@lists.debian.org