my bluetooth hcitool scan times out

Binary package hint: bluez

I am running Ubuntu Intrepid 8.10. I put in a rocketfish micro usb bluetooth adapter and it was recognized and the icon appeared in the tray. If I run "hcitool dev" it displays "Devices: hci0 00:02:76:17:22:A1". Yet when I try to setup a device through the GUI it does not display a device to connect to. When I run "hcitool scan" it displays "Inquiry failed: Connection timed out". I have tried to reconfigure all of the bluetooth packages to no fruition. Please help.

ProblemType: Bug
Architecture: i386
DistroRelease: Ubuntu 8.10
Package: linux-image-2.6.27-11-generic 2.6.27-11.27
ProcCmdLine: root=UUID=efffb008-ef9b-4a35-841d-06e755579065 ro quiet vga=786 splash
ProcEnviron:
 PATH=/usr/local/sbin:/usr/local/bin:/usr/sbin:/usr/bin:/sbin:/bin:/usr/games
 LANG=en_US.UTF-8
 SHELL=/bin/bash
ProcVersionSignature: Ubuntu 2.6.27-11.27-generic
SourcePackage: linux