Just a small addendum:
Tried all KS's suggested remedy steps. Got the following:
java.rmi.AccessException: CORBA NO_PERMISSION
Poked around on Google and found this:
With 1.3.1 final release, the J2EE SDK became strict about checking adherence to the security policies of J2EE components.
Under the Security screen of the EJB wizard or the Security tab of the EJB inspector in deploytool, click "Deployment Settings..". Under the box "Client Authentication", make sure "Support Client Choice" is checked instead of "Certificate" or "Password".
2. Using Deploytool click "Update & Redeploytool"
3. Run you standalone client again