By using MPPE encryption in NetworkManager, PAP CHAP and EAP are automatically 
grayed out leaving only MSCHAP and MSCHAPv2 active.
This configuration does not work returning the error message PPTP service has 
stopped that everyone here is facing.

A workaround that works for me is to deactivate MSCHAP as well.

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https://bugs.launchpad.net/bugs/259698

Title:
  pptp vpn service stops unexpectedly

Status in pptp-linux package in Ubuntu:
  Confirmed

Bug description:
  Binary package hint: pptp-linux

  Using ubuntu 8.10 x86.

  pptp-linux version 1.7.2-1

  When I select the vpn option, I can create the VPN configuration, but
  after trying to connect for around ~1 second, I get the popup error:

  "The VPN connection 'Warwick' failed because the VPN service stopped
  unexpectedly."

  Im not entirely sure how to execute the connection via command line,
  so I cant work out how to get any more info on what is going on.

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