I can't fine anything wrong with the configuration:
My mail relay is set to relay for anyone
Control Panel => IMail Server => SMTP DNS entry contains my DNS server IP adresses
 
When sending email to [EMAIL PROTECTED] I also get this Undeliverable Mail error:
 
Invalid final delivery userid: sales@localhost
It seems that iMail somehow looses the domain name of the destination of the email.  It tries to send the email to sales@{Defaul Mail Host in Control Panel -> iMail -> SMTP -> Dafault Mail Host Setting}
I have tried this setting with LOCALHOST, topnotchhosting.com and nothing with the same results.
 
The thing that realy confuses me is that everything worked perfectly when I set iMail up initialy, and a day later this started happening.
 
 
Thank you very much for all your effort and help.
 
Arthur F.

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