Issue: You get an error “The local policy of this system does not permit you to logon interactively” if you try to log on to a Windows 2000 server using RDP.
Solution:
To allow domain/local users to connect remotely to a Windows 2000 machine, you need to first add the user to the Terminal Services Configuration by:
Logon as a domain-admin, click
Start->Control Panel ->Administrative tools ->Terminal Services Configuration -> Connections in the left panel -> Right click on the right side listed item RDP-Tcp-> Properties -> Permissions
Now use the ntrights utility available with Windows 2000. The command can be executed as follows as follows:
C:>ntrights -u <domainname><username> +r SeInteractiveLogonRight
C:>ntrights -u <domainname><username> +r SeNetworkLogonRight
More options of this command is available at: http://support.microsoft.com/kb/279664