Hi you all,
i got it working after many tries and retries.
I changed a lot of setting changes so i really couldn't understand which one could eventually be left out ...
I run Microsoft Windows Vista 32 bit.
I will try to put it as clearest as possible.
1 - PuttyGen -> make public/private keys. Saved private key in a .ppk file which is on the client machine i.e where there's Putty installed. I copied the content of the displayed public key in PuttyGen window in a file with the same name as my windows user i.e :
I created a text file named nicola with such content:
ssh-rsa ......... rsa-key-20070330
where instead of the dots, there's a value I want to keep hidden.
2 - Putty -> set this configuration:
- Connection / Data / Login Details / auto-login username : myusername (in my case nicola)
- Connection / SSH / Auth / Authentication Parameters / Private Key file for authentication : <full path to file on client PC> [the exported .ppk private key file from puttygen created in step 1]
3 - On the server Machine:
System Configuration ([Vista] Start - Control Panel - System and Manteinance - System - Advanced System Settings).
Then go to Environment Variables and make sure there is (if there's not, such as in my case, create it) an environmet variable
named USERNAME. Then assign to env.variable USERNAME the proper vallue (in my case nicola).
4 - Download and launch freeUserImport.exe. Make sure that freeSSHd is unloaded. Select only user you want to allow (in my case guess what? nicola) enable all services.
5 - Launch freeSSHd. Check there's your user.
Authentication: set the public key folder path to a folder in which you place a copy of the file named as your username created in step 1 (containing the public key, in my case nicola).
Password : allowed
PublicKey required
(optional)
5 - tunneling : enabled local and remote port forwarding
6 - unload and relaunch freeSSHd.exe
Hope this might help
NOTE to developer:
1 - great job

I love this server and is really pretty also
2 - this thing of the public key named same as the user is a little tricky ... wouldn't it be better to set the not just the folder to the public key but the FILE instance instead?