This is in response to a very old message on debian-user which I saw while browsing the mailing list archives.
I've got IP masq working on a Debian system with kernel 2.1.132 at home. I think you're missing the obligatory "echo" for the 2.1.x kernels to turn on IP forwarding. I'm not at home right now, but I seem to recall that in my /etc/init.d/network I inserted the following lines: echo 1 > /proc/sys/net/ipv4/ip_forward ipchains -P forward DENY ipchains -A forward -j MASQ -s 192.168.2.0/24 -d 0.0.0.0/0 Don't just type these in without double-checking them, though, since I'm *not* at home and they might be wrong. If you still need this information, let me know and I can look it up at home to get it right.