To all who replied to this message, I found the LDAP/CHAP compatibility problem. I had everything correct in the author/authen sections. In fact, the answer was in the previously mentioned FAQ by Kostas. We also use the "users" file to set defaults after the LDAP authorization and it was erroneously setting "Authtype := LDAP" which was mentioned as something that should NOT be done in the "http://www.freeradius.org/faq/#5.11"; FAQ. After commenting that out in the "users" file, all is well.
Thanks to all for the feedback as our CHAP auths are now working in perfect harmony with LDAP!! Pat McShane - List info/subscribe/unsubscribe? See http://www.freeradius.org/list/users.html
