mini2440 network

My mini2440 with zImage kernel recompiled dose not able to resolve
localhost address, even if the networks works.
Any ideas?

Dear All Trouble Shooters,

I am impressed with the kind of path you have shown to Embsys. I have
successfully installed PPP on mini2440 and connected to PPP server and thus
internet. But when I run openvpn over ppp-network iam getting the following
error, 

TLS negotiation failed to occure within 60 secs (check network
connectivity)

But, I am able to establish connection between openvpn server and client
with normal TCP/IP connection.

Can any one help me in this regard.

With Best Regards,
Nikhil N.D.