I'm trying to setup Rsync from one OES 11 server to another

When I run rsync: link_stat "/users" (in Data1) failed: Permission denied

Here is my rsyncd.conf

gid = root
#gid = users
read only = true
chroot = true
transfer logging = true
hosts deny = *
slp refresh = 300

path = /media/nss/DATA1
hosts allow =

Tried gid as users and root

I tried this actualy on the Host ie.