I have searched the forums and also a general web search to find a solution to fix X11 forwarding under Zentyal, but have been unable. I have replicated this problem on an installation from CD as well as from the PPA on a fresh server install. I will describe my steps and maybe someone can point out my error. Tests happened on a physical machine as well as a VirtualBox virtual machine.
1.) Fresh install of Ubuntu Server 12.04 with OpenSSH Server. After install run apt-get dist-upgrade to get latest packages.
2.) Test SSH connection. SUCCESS! Test forward of xeyes (an X11 utility). SUCCESS!
3.) Add the PPA Repository for Zentyal (have tried with 3.0 & 3.1 packages) and install zentyal-core.
4.) Test SSH connection. SUCCESS! Test forward of xeyes. SUCCESS!
5.) Install zentyal-software. Open browser and install DHCP, DNS, File Sharing & related modules. Configure modules.
6.) Test SSH connection. SUCCESS but with error "X11 forwarding request failed on channel 0"! Test forward of xeyes. FAIL with error "Error: Can't open display:"!
Also have noticed that if I leave the last successful run of xeyes in step 4 running and continue, the application keeps running uninterrupted but new apps will not open. Can anyone point me in the right direction?