I have been unable to get this script running with Ubuntu 10.04 LTS and freenx (latest packages from PPA)

Here is what I get for an error message:

Server says:
Server says: NXAGENT - Version 3.4.0
Server says:
Server says: Copyright (C) 2001, 2010 NoMachine.
Server says: See http://www.nomachine.com/ for more information.
Server says:
Server says: Info: Agent running with pid '28731'.
Server says: Session: Starting session at 'Sun Dec 19 00:29:56 2010'.
Server says: Info: Proxy running in server mode with pid '28731'.
Server says: Info: Waiting for connection from '127.0.0.1' on port '5011'.
Client says: /usr/bin/snx: line 160: nxproxy: not found
Server says: Info: Aborting the procedure due to signal '1'.
Server says: Error: Aborting session with 'Unable to open display 'nx/nx,link=modem,accept=127.0.0.1:1011''.
Server says: Session: Aborting session at 'Sun Dec 19 00:30:56 2010'.
Server says: Session: Session aborted at 'Sun Dec 19 00:30:56 2010'.

nxproxy is installed.
$ which nxproxy
/usr/bin/nxproxy