This has been fixed now, reinstalling jaunty and installing the latest
karmic updates worked fine. It seems like this was a duplicate of bug
421225 I got the same error messages when trying to run startx from the
console.
** Changed in: xorg (Ubuntu)
Status: Confirmed => Fix Released
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X/GDM doesn't start on Karmic Koala
https://bugs.launchpad.net/bugs/434320
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