Connecting to node using ejabberdctl or using remsh fails

Hi,
I am running ejabberd node on EC2 server:

[root@ip-XX-XX-XX-XX ec2-user]# ps awx | grep erl
29680 ? S 82:04 /usr/lib64/erlang/erts-5.8.5/bin/beam -K true -P 250000 -- -root /usr/lib64/erlang -progname erl -- -home //var/lib/ejabberd -- -name ejabberd@xmpp3ir.XXXX.com -noshell -noinput -noshell -noinput -pa //lib/ejabberd/ebin -mnesia dir "//var/lib/ejabberd" -kernel inet_dist_use_interface {0,0,0,0} -s ejabberd -sasl sasl_error_logger {file,"//var/log/ejabberd/erlang.log"} -smp auto -setcookie 1234567 -inetrc /etc/ejabberd/inetrc start

When trying to connect using ejabberdctl I get:
ejabberdctl --node ejabberd@xmpp3ir.XXXX.com debug

Erlang R14B04 (erts-5.8.5) [source] [64-bit] [rq:1] [async-threads:0] [kernel-poll:true]
*** ERROR: Shell process terminated! (^G to start new job) ***

these are netstat data:

[root@ip-XX-XX-XXX-XX ec2-user]# netstat -anp | grep 5222
tcp 0 0 0.0.0.0:5222 0.0.0.0:* LISTEN 29680/beam

[root@ip-XX-XX-XXX-XX ec2-user]# netstat -anp | grep 4369
tcp 0 0 0.0.0.0:4369 0.0.0.0:* LISTEN 31701/epmd

When trying to use erl with remsh I get the same error:

[root@ip-10-64-155-139 ec2-user]# erl -name guest@xmpp3ir.XXXXX.com -remsh ejabberd@xmpp3ir.XXXXX.com -setcookie XXXXXXXX
Erlang R14B04 (erts-5.8.5) [source] [64-bit] [rq:1] [async-threads:0] [kernel-poll:false]
*** ERROR: Shell process terminated! (^G to start new job) ***

Any clue what I need to set to get it to work?

Thanks,
Gadi