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SQL 2005: Error 15401 - Windows NT user or **group** not found

Posted By:      Posted Date: September 19, 2010    Points: 0   Category :Sql Server

I have a fresh install of Windows Server 2008 R2 x64 Standard Edition and SQL Server 2005 x64 on top of that, with Service Pack 3. This server, SERV, is in DOMAINA which trusts (one-way) DOMAINB.

When I try to create a login for a group in my domain, I get the following error:
Msg 15401, Level 11, State 1, Procedure sp_grantlogin, Line 49
Windows NT user or group 'DOMAINA\groupname' not found. Check the name again.

I get the same error whether using "create login [domaina\groupname] from widnows", "sp_grantlogin [domaina\groupname]" or Manangement Studio.
This happens ONLY for groups , both in DOMAINA and DOMAINB domains. I can add individual users from both A and B and local computer. For local computer groups: I can add default Windows groups (like Users, Guests, Event Log Readers) by [BUILTIN\Event Log Readers], etc. but not by SERV\Event Log Readers; for custom created group MyLocal it's the other way around: I can via SERV\MyLocal but not via BUILTIN\MyLocal.

If I add a domain group from either DOMAINA or DOMAINB to a local group, whether my own or builtin, I can login to SQL Server remotely using creditentials of a user who belongs to that group (user DOMAINB\ux belongs to DOMAINB\group and DOMAINB\group to SERV\MyLocal). After sp_grantlogin [serv\mylocal] of cours

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