ssh problem , I can't solve.

[5stars]

I recently upgraded to the latest stable version of cpanel.
I have problems that range from just connecting with SSH on the server to changing permision for users in cpanel.


http://www.webhosting5stars.com/problem.jpg

I can for example change permision on the entire public html folder, but when trying to change permison on the index.html I get the fatal error above , I need to change permision for the html editor incorporated in cpanel so users can edit and save documents.
I get the same error in the html editor when I modify something then try to save it.
I need 777 permission, every time I try to change permission I get: [a fatal error or timeout occurred while processing this directive]

The owner is the root, I loged in directly from WHM as root, I loged in as my client with my client usr and pass, the result has the same outcome, I get the same error.

In the cpanel error log I get :

/home/arraink/public_html/index.html chmod failed: Operation not permitted at cpanel.pl line 2088
(internal death) Sat Jul 21 18:11:05 2007 [21026] error: /home/arraink/public_html/index.html chmod failed: Operation not permitted at cpanel.pl line 2088
Carp::croak('/home/arraink/public_html/index.html chmod failed: Operation not...') called at /usr/local/cpanel/Cpanel/Fileman.pm line 850
Cpanel::Fileman::changeperm('/home/arraink/public_html', 'index.html', 4, '', '', '', '', '', ...) called at cpanel.pl line 2088
main::dofileman('changeperm($FORM{\'dir\'},$FORM{\'file\'},$FORM{\'ur\'},$FORM{\'...') called at cpanel.pl line 677
main::exectag('<cpanel Fileman="changeperm($FORM{\'dir\'},$FORM{\'file\'},$FORM...') called at cpanel.pl line 3496
main::dotag(undef) called at cpanel.pl line 3410
main:arsehtml('GLOB(0x8ef9e38)') called at cpanel.pl line 355
/home/arraink/public_html/index.html chmod failed: Operation not permitted at cpanel.pl line 2088


From time to time also the SSH server simply crashes when I try to log from my desktop computer to the server using SSH, then it needs to be restarted in order to function.

Any resolution on this from any one?