Unable to execute a remote stored procedure over a linked server

I ran into an interesting situation when executing a Remote Stored Procedure on Linked Server using four part query.  Vista-3139 which is a SQL Server 2005 instance is linked to the SERV2003\SQLDUMMY which is a SQL Server 2000 named instance.  

When I tried to execute a stored procedure:

EXEC [SERV2003\SQLDUMMY].SQLAdmin.dbo.sp_ddlevents Got the following error message.

Could not connect to server SERV2003\SQLDUMMY ' because '' is not defined as a remote login at the server. Verify that you have specified the correct login name.

I checked the Security settings of the linked server and it was set to “Be made using the login's current security context", which is valid considering that the user has all the permissions to login to the remote SQL server.

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