my mistake, wasn't under sudo... here is the output with heightened privileges

/home/user # /usr/sbin/mobilehotspot_backend start
DEBUG: executing uname -r
DEBUG-read_previous_state: setting state key 'gconf' to value: {'wlan_search_interval': 0}
DEBUG-read_previous_state: setting state key 'kernel' to value: {'loaded_modules': {'ip_tables': True, 'nf_nat': True, 'nf_conntrack': True, 'ipt_MASQUERADE': True, 'nf_conntrack_ipv4': True, 'x_tables': True, 'iptable_nat': True, 'nf_defrag_ipv4': True}}
DEBUG-read_previous_state: setting state key 'icd' to value: {'old_connection_type': 'WLAN_INFRA', 'old_connection_name': '07549e44-7336-4fbd-aa32-3541c1781a58'}
DEBUG: executing lsmod
DEBUG: executing lsmod
DEBUG: executing lsmod
DEBUG: executing lsmod
DEBUG: executing lsmod
DEBUG: executing lsmod
DEBUG: executing lsmod
DEBUG: executing lsmod
ERROR:dbus.proxies:Introspect error on :1.80:/com/nokia/icd2: dbus.exceptions.DBusException: org.freedesktop.DBus.Error.NotSupported: Unsupported interface or method
DEBUG: executing ifconfig wlan0 down
DEBUG: executing iwconfig wlan0 mode ad-hoc
DEBUG: executing ifconfig wlan0 up
DEBUG: executing iwconfig wlan0 essid "N900"
DEBUG: executing ifconfig wlan0 10.246.211.1 netmask 255.255.255.0 up
DEBUG: executing /usr/sbin/dnsmasq -i wlan0 -a 10.246.211.1 -I lo -z -x /var/run/dnsmasq.wlan0.pid --dhcp-range=10.246.211.10,10.246.211.100,6h --dhcp-option=3,10.246.211.1 --dhcp-option=6,10.246.211.1
DEBUG: Command output:
dnsmasq: failed to bind listening socket for fe80::ee9b:5bff:fe01:f6d3: Address already in use
Traceback (most recent call last):
File "/usr/sbin/mobilehotspot_backend", line 14, in <module>
sys.exit(backend.cli())
File "/opt/mobilehotspot/libs/backend.py", line 383, in cli
backend.start()
File "/opt/mobilehotspot/libs/backend.py", line 135, in start
self.start_run_dnsmasq()
File "/opt/mobilehotspot/libs/backend.py", line 249, in start_run_dnsmasq
helpers.exec_cmd(dnsmasq_command + dnsmasq_options)
File "/opt/mobilehotspot/libs/helpers.py", line 12, in exec_cmd
raise Exception("Command '" + cmd + "' returned with code " + str(return_code) + " (" + str(expect_code) + " expected)")
Exception: Command '/usr/sbin/dnsmasq -i wlan0 -a 10.246.211.1 -I lo -z -x /var/run/dnsmasq.wlan0.pid --dhcp-range=10.246.211.10,10.246.211.100,6h --dhcp-option=3,10.246.211.1 --dhcp-option=6,10.246.211.1' returned with code 512 (0 expected)