I'm not sure about the:
issue, but the quota problem is definately a kernel version issue. At the start of the Deb Sarge howto you may have missed this:
Insert your Sarge Netinstall CD into your system and boot from it (enter linux26 at the boot prompt to install a 2.6 kernel).
You either need to compile a 2.6 kernel for your system or start over
and install it from the outset. This may help with the other problem too, but I am not sure. Someone else with more knowledge may be able to help out there.
Hope that helps.