ASP.NET - SEcurity Configuration with ADAM error

[shikarishambu]

I am trying to get my ASP.NET web application to use ADAM as the membership
provider. I have an ADAM instance setup on my machine (Windows 2003 server)
running under Network Services account. And, I have my local account as the
Administrator.

However, when I try to go to the security tab on the ASP.NET 2.0
Configuration site I get an error - Logon failure: unknown user name or bad
password.

In the event log I see that the local user is trying to logon to the ADAM
service.

Event Type: Failure Audit
Event Source: Security
Event Category: Account Logon
Event ID: 680
Date: 3/31/2006
Time: 10:17:02 AM
User: NT AUTHORITY\NETWORK SERVICE
Computer: CORP-SHANKAR
Description:
Logon attempt by: ADAM_instance1
Logon account: domainname\user
Source Workstation: <ipaddress>
Error Code: 0xC0000064

I am not sure why this is happening since the logon user is the
administrator of ADAM.

Any help in resolving the issue is appreciated.

TIA