W2k Pro and RAS

I am having problems, once dialed in, authenticating to the domain through a Win2k Pro PC acting as a RAS server. I am dialing in via a notebook running Win98. The message that I get in the event viewer is the following: “The user NEWWEST\jsmith failed an authentication attempt due to the following reason: The current configuration only supports local user accounts”. I checked the TCP/IP properties of the incomming connection and the check box to allow callers to access my local area network isselected. Suggestions are greatly welcomed.