INPA setup help

[garfield81]

I have been a little curious to all the supposed programming that can be done to a BMW so I got a K+DCAN USB cable. I have searched and spent hours going through tutorials on the web and pretty much every tutorial goes a different route (different software combinations, different versions, different platforms, etc.).
So long story short, I think I have all the software installed but when I launch INPA both the battery and ignition show OFF. However when I run D-CAN.exe (command line utility) and select K+CAN it seems to connect and work fine but can't get it to work with INPA
I do see a red light when on the USB cable when I plug it into the car.

Here is a short list of what I have done. (Running under Window 7 64 bit)

1.) make sure the port is set to COM1 in Device Manager and Latency is set to 1 msec.
2.) Add a 'path' environment variable with a value pointing to EDIABAS\BIN on the hard drive.
3.) Run OBDSetup and it says 'All done.'
4.) obd.ini in EDIABAS\BIN has the following: (first few lines)
[OBD]
Port=Com1
Hardware=USB
Retry=ON
....
5.) Ediabas.ini has the following
Interface = STD:OBD
...

6.) Also tried setting the RemoteHost and Port to 192.168.68.1:6801.

But have had no luck.

Any help would be appreciated.