ADODB.Command Error '800a0cb3'

I have posted various questions on the microsoft ng trying to identify the cause of this error.

ADODB.Command error '800a0cb3'
Object or provider is not capable of performing requested operation.

I have MDAC 2.8 installed locally on my machine.

Via IIS I created a virtual directory via IIS that points to my ASP files on c:

Via the SQL Server IIS for XML configuration utility I created a virtual directory with a different names that points to the same directory as that created via IIS.

The SQL database is on a different machine and I connect via the OLEDB DSNless connection string.

I used a ADODB.Stream to transform the XML against the XSL but I couldnt get it to work. To simplify things and work towards a solution I inserted the code into my ASP from the MS KB article Q272266 (see below). I amended the ms code to change the connection code and call a stored procedure that exists on the database. The ms code gives the same error as my original code.

I tried changing the CursorLocation to server and client but the results were the same.

I put a SQL trace on the DB to determine if the stored procedure gets ran, it does not.

If I run the following in the URL it works:

If I run http://localhost/p2/?sql=SELECT+*+FROM+tblStatus+FOR+XML+AUTO&root=root&xsl=tblStatusDesc.xsl it works.
If I run the xml template it works: http://localhost/p2/xml/test.xml

The two lines above run. My IIS server uses a virtual directory called dev, so when I run the ASP I type http://localhost/DEV/secure/aframes.asp the IIS virtual directory creted by sql server is called p2 but has the same source code directory.

Here is the MS code amended as described above that does not work.

sQuery = "<ROOT xmlns:sql='urn:schemas-microsoft-com:xml-sql'><sql:query>Select StatusDesc from tblStatus for XML Auto</sql:query></ROOT>"
'*************************************************

Dim txtResults ' String for results
dim CmdStream ' as ADODB.Stream


sConn = "Provider=SQLOLEDB;Data Source=[name of sql server];UId=sa; Pwd=xxxxx; Initial Catalog=[DB Name]"

Set adoConn = CreateObject("ADODB.Connection")
Set adoStreamQuery = CreateObject("ADODB.Stream")

adoConn.ConnectionString = sConn
adoConn.Open

Set adoCmd = CreateObject("ADODB.Command")
set adoCmd.ActiveConnection = adoConn

adoConn.CursorLocation = adUseClient

Set adoCmd.ActiveConnection = adoConn

adoStreamQuery.Open ' Open the command stream so it may be written to
adoStreamQuery.WriteText sQuery, adWriteChar ' Set the input command stream's text with the query string
adoStreamQuery.Position = 0 ' Reset the position in the stream, otherwise it will be at EOS

Set adoCmd.CommandStream = adoStreamQuery ' Set the command object's command to the input stream set above
adoCmd.Dialect = "{5D531CB2-E6Ed-11D2-B252-00C04F681B71}" ' Set the dialect for the command stream to be a SQL query.
Set outStrm = CreateObject("ADODB.Stream") ' Create the output stream
outStrm.Open
adoCmd.Properties("Output Stream") = response ' Set command's output stream to the output stream just opened
adoCmd.Execute , , adExecuteStream ' Execute the command, thus filling up the output stream.

Response.End