yea i was having the same problem and i couldn't figure out why (still can't).  i had to recompile my binaries, setting the server to load spells from the files instead of the db table.
i just updated to the 679 binaries, compiled (with database spells) and it works.  you may want to either re-download the source and re-compile, or download the 
compiled binaries.
Someone plz correct me if the pre-compiled binaries are not database spell table enabled.