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It shouldn't scroll anything when you run the chmod command.
What does it say?
.lots of words
got it now. I was copying and pasting from the first post.. was it not there? or i wonder how it disappeared...You forgot the "shell" part.
adb shell chmod 755 /system/bin/flash_image

This is just making me happy. Hah!
New problem: when I want to do step 3 in the recovery image installation, I am having problems in getting error saying:
can't stat "recovery.img" does not exist.
I have unzipped Recovery.zip into the \tools\ twice now and it still does not recognize that the file is there...But when I run the command prompt to open just that file (without the adb command) it recognizes that the file is there, but windows cannot open it.
Confused. Any explanations would be very helpfull. And if this is timed I'm not liking the fact that I'm on a clock to get the new rom installed when I can't get past step 2.
"8. Right-click My Computer > Properties, and go to Device Manager. You should see a device with a yellow exclamation next to it, this is your phone (if you don't see it you probably forgot to enable USB debugging mode)"
Debugging is on, but still no yellow exclamation next to an icon.
Should I just right click the "My HTC" in "Android USB Devices"?
Re-Sign in @ Google "feature" still there after power cycle for eris_0_2 ROM
EDIT*****************
Hmmm, seems to be intermittent.

pk, do you have to redo the recovery and flash_image file also if you have done the 0_2 ROM already?