Linux Mail Server Setup and Howto Guide

Hi,

My postfic conf file my network is, mynetworks = 127.0.0.0/8
#mynetworks = $config_directory/mynetworks
#mynetworks = hash:/etc/postfix/network_table

when I telnet using hostname

[root@mail ~]# telnet mail smtp
Trying 127.0.0.1…
Connected to localhost.localdomain (127.0.0.1).
Escape character is '^]'.
220 mail.timexbpo.local ESMTP Postfix
ehlo localhost
250-mail.timexbpo.local
250-PIPELINING
250-SIZE 10240000
250-VRFY
250-ETRN
250-STARTTLS
250-AUTH PLAIN LOGIN
250-AUTH=PLAIN LOGIN
250-ENHANCEDSTATUSCODES
250-8BITMIME
250 DSN
mail from:<raminda>
250 2.1.0 Ok
rcpt to:<mail@example.com>
250 2.1.5 Ok

SASL Not working But,

[root@mail ~]# telnet 192.168.1.58 smtp
Trying 192.168.1.58…
Connected to 192.168.1.58 (192.168.1.58).
Escape character is '^]'.
220 mail.mydomain.local ESMTP Postfix
ehlo localhost
250-mail.timexbpo.local
250-PIPELINING
250-SIZE 10240000
250-VRFY
250-ETRN
250-STARTTLS
250-AUTH PLAIN LOGIN
250-AUTH=PLAIN LOGIN
250-ENHANCEDSTATUSCODES
250-8BITMIME
250 DSN
mail from:<raminda>
250 2.1.0 Ok
rcpt to:<mail@example.com>
554 5.7.1 <mail@example.com>: Relay access denied
SASL Working

Please help do I need to modify /etc/hosts file how can I do it pleas give me an example

Thanks,