Thank for the reply. I did add a remote user in the SECURITY tab. In the SECURITY tab for local user I gave the username which has sysadmin server role(I was creating the linked server logged in with the same account). In the Remote User I gave the name of the remote user which I manually created at the destination(i.e. I mapped the local user say 'X' which has sysadmin server role with the remote user say 'X' which is login at the destination with sysadmin server role). Even the remote user also has sysadmin server role. Now I came back to the source server and tried running a query on the remote server. For Example

select * from [FTWP1IEGBOV01\GBOSQL1].MVDB.dbo.ab

{**[FTWP1IEGBOV01\GBOSQL1] is the linked server instance name}

I get the following error.

OLE DB provider "SQLNCLI" for linked server "FTWP1IEGBOV01\GBOSQL1" returned message "Invalid authorization specification".

Msg 7399, Level 16, State 1, Line 1

The OLE DB provider "SQLNCLI" for linked server "FTWP1IEGBOV01\GBOSQL1" reported an error. Authentication failed.

Msg 7303, Level 16, State 1, Line 1

Cannot initialize the data source object of OLE DB provider "SQLNCLI" for linked server "FTWP1IEGBOV01\GBOSQL1".

Why does it say that at the destination link server authorization has failed? When the destination user I mapped while creating the Linked server has sysadmin server role?

Any Ideas?