ok I step further. I placed this in for ftp settings. I changed this 1 line to this
Define('FTP_PATH',''); //distant path from the ftp root
Now when I run say
http://www.domain.com I still do not get any links,but If I run something like this.
http://www.domain.com/testfolder/
It will grab and record everything under that directory.
So getting closer think it is just a setting somewhere. Hopfully someone has run into this before and can help out.