Using jtds 1.3.1 to connect to sql server 2012 on windows 2008 r2 box. Both account 1 + 2 have log in credentials on the sql box - using SSO. Both accounts are able to ping the sql instance using SSMS using windows authentication from within their respective sessions.

The issue is appears to be limited to pentaho only. JTDS is up to date. x86 + x64 SSO files from jtds and MS JDBC have been places in proper libswt folders.
When logging in to server using account #1, opening pentaho bi 5.1 and running my job, job fails stating sql fails.
when logging in to server using account #2, open same repo + same job, job runs successfully.


Here is error from account #1:
Error connecting to database [Analysis] : org.pentaho.di.core.exception.KettleDatabaseException:
Error occured while trying to connect to the database
Error connecting to database: (using class net.sourceforge.jtds.jdbc.Driver)
Login failed for user '(null)'. Reason: Not associated with a trusted SQL Server connection.
org.pentaho.di.core.exception.KettleDatabaseException:
Error occured while trying to connect to the database
Error connecting to database: (using class net.sourceforge.jtds.jdbc.Driver)
Login failed for user '(null)'. Reason: Not associated with a trusted SQL Server connection.
at org.pentaho.di.core.database.Database.normalConnect(Database.java:428)
at org.pentaho.di.core.database.Database.connect(Database.java:361)
at org.pentaho.di.core.database.Database.connect(Database.java:314)
at org.pentaho.di.core.database.Database.connect(Database.java:302)
at org.pentaho.di.core.database.DatabaseFactory.getConnectionTestReport(DatabaseFactory.java:80)
at org.pentaho.di.core.database.DatabaseMeta.testConnection(DatabaseMeta.java:2685)
at org.pentaho.ui.database.event.DataHandler.testDatabaseConnection(DataHandler.java:546)
at sun.reflect.NativeMethodAccessorImpl.invoke0(Native Method)
at sun.reflect.NativeMethodAccessorImpl.invoke(NativeMethodAccessorImpl.java:57)
at sun.reflect.DelegatingMethodAccessorImpl.invoke(DelegatingMethodAccessorImpl.java:43)
at java.lang.reflect.Method.invoke(Method.java:606)
at org.pentaho.ui.xul.impl.AbstractXulDomContainer.invoke(AbstractXulDomContainer.java:313)
at org.pentaho.ui.xul.impl.AbstractXulComponent.invoke(AbstractXulComponent.java:157)
at org.pentaho.ui.xul.impl.AbstractXulComponent.invoke(AbstractXulComponent.java:141)
at org.pentaho.ui.xul.swt.tags.SwtButton.access$500(SwtButton.java:43)
at org.pentaho.ui.xul.swt.tags.SwtButton$4.widgetSelected(SwtButton.java:138)
at org.eclipse.swt.widgets.TypedListener.handleEvent(Unknown Source)
at org.eclipse.swt.widgets.EventTable.sendEvent(Unknown Source)
at org.eclipse.swt.widgets.Widget.sendEvent(Unknown Source)
at org.eclipse.swt.widgets.Display.runDeferredEvents(Unknown Source)
at org.eclipse.swt.widgets.Display.readAndDispatch(Unknown Source)
at org.eclipse.jface.window.Window.runEventLoop(Window.java:820)
at org.eclipse.jface.window.Window.open(Window.java:796)
at org.pentaho.ui.xul.swt.tags.SwtDialog.show(SwtDialog.java:389)
at org.pentaho.ui.xul.swt.tags.SwtDialog.show(SwtDialog.java:318)
at org.pentaho.di.ui.core.database.dialog.XulDatabaseDialog.open(XulDatabaseDialog.java:116)
at org.pentaho.di.ui.core.database.dialog.DatabaseDialog.open(DatabaseDialog.java:59)
at org.pentaho.di.ui.spoon.delegates.SpoonDBDelegate.editConnection(SpoonDBDelegate.java:87)
at org.pentaho.di.ui.spoon.Spoon.doubleClickedInTree(Spoon.java:3052)
at org.pentaho.di.ui.spoon.Spoon.doubleClickedInTree(Spoon.java:2987)
at org.pentaho.di.ui.spoon.Spoon.access$2400(Spoon.java:338)
at org.pentaho.di.ui.spoon.Spoon$28.widgetDefaultSelected(Spoon.java:5990)
at org.eclipse.swt.widgets.TypedListener.handleEvent(Unknown Source)
at org.eclipse.swt.widgets.EventTable.sendEvent(Unknown Source)
at org.eclipse.swt.widgets.Widget.sendEvent(Unknown Source)
at org.eclipse.swt.widgets.Display.runDeferredEvents(Unknown Source)
at org.eclipse.swt.widgets.Display.readAndDispatch(Unknown Source)
at org.pentaho.di.ui.spoon.Spoon.readAndDispatch(Spoon.java:1297)
at org.pentaho.di.ui.spoon.Spoon.waitForDispose(Spoon.java:7801)
at org.pentaho.di.ui.spoon.Spoon.start(Spoon.java:9130)
at org.pentaho.di.ui.spoon.Spoon.main(Spoon.java:638)
at sun.reflect.NativeMethodAccessorImpl.invoke0(Native Method)
at sun.reflect.NativeMethodAccessorImpl.invoke(NativeMethodAccessorImpl.java:57)
at sun.reflect.DelegatingMethodAccessorImpl.invoke(DelegatingMethodAccessorImpl.java:43)
at java.lang.reflect.Method.invoke(Method.java:606)
at org.pentaho.commons.launcher.Launcher.main(Launcher.java:151)
Caused by: org.pentaho.di.core.exception.KettleDatabaseException:
Error connecting to database: (using class net.sourceforge.jtds.jdbc.Driver)
Login failed for user '(null)'. Reason: Not associated with a trusted SQL Server connection.
at org.pentaho.di.core.database.Database.connectUsingClass(Database.java:573)
at org.pentaho.di.core.database.Database.normalConnect(Database.java:410)
... 45 more
Caused by: java.sql.SQLException: Login failed for user '(null)'. Reason: Not associated with a trusted SQL Server connection.
at net.sourceforge.jtds.jdbc.SQLDiagnostic.addDiagnostic(SQLDiagnostic.java:372)
at net.sourceforge.jtds.jdbc.TdsCore.tdsErrorToken(TdsCore.java:2988)
at net.sourceforge.jtds.jdbc.TdsCore.nextToken(TdsCore.java:2421)
at net.sourceforge.jtds.jdbc.TdsCore.login(TdsCore.java:649)
at net.sourceforge.jtds.jdbc.JtdsConnection.<init>(JtdsConnection.java:371)
at net.sourceforge.jtds.jdbc.Driver.connect(Driver.java:184)
at java.sql.DriverManager.getConnection(DriverManager.java:571)
at java.sql.DriverManager.getConnection(DriverManager.java:233)
at org.pentaho.di.core.database.Database.connectUsingClass(Database.java:559)
... 46 more