We apologize for the problems you are having with getting this to work. However, there are quite a few customers that we have who are happily using the remote Configuration Tool, so we are quite sure there must be some problem with your set up. We have also tested the remote Configuration Tool today here and everything seems to work fine.
One possible (and common) reason for these problems is firewall issues between the client and the server. There are quite a few ports that must be open for the Configuration Tool to access the server.
Could you please provide the full error message and also the contents of the console window?
There are MsSQL issues that don't allow access via IP or other machines. I believe I've have this fixed now, but you say nothing about it.
I am not sure which issues you mean here, but a number of issues related to MS SQL Server running in a mixed mode and having TCP/IP enabled are documented in the Installation Guide in the section "Troubleshooting MS SQL Server/MSDE database integration."
And then stuff is noticable that may have nothing to do with anything but if you look at the BASserver.props file on the CLIENT (Not server) it shows Derby stuff in it.
As you rightly point out this file is not used by the remote Configuration Tool
I'm growing more outraged by the moment of your error messages and/or lack of them because they give no clue as to the any usable user information.
We understand your frustration (especially having spent a few hours on this). We try to use informative messages wherever possible, but in some cases this is very very difficult.