looking at your setup, I think you are connecting in the reverse direction from myself.... your VPN client is OUTSIDE your E-Smith box, and your VPN server is INSIDE.
This is exactly the reverse of my situation. I think I'm getting to the limits of my ipchains knowledge without doing any further reading up on the HOWTO (I stopped after I got my VPN working OK!)
Here are both the ipchains lines I use to ensure my VPN client INSIDE my lan can receive IPSec packets from OUTSIDE.
/sbin/ipchains --append input -p 50 -s 0/0 -d $OUTERNET -j ACCEPT
/sbin/ipchains --append input -p udp -s 0/0 500 -d $OUTERNET 500 -j ACCEPT
I don't see why these should not work for PPTP, so substitute for PPTP protocol 47 & tcp 1723
/sbin/ipchains --append input -p 47 -s 0/0 -d $OUTERNET -j ACCEPT
/sbin/ipchains --append input -p tcp -s 0/0 1723 -d $OUTERNET 1723 -j ACCEPT
You probably want to remove the "-l -i eth1" from the end of your statement.... -I is in conflict with the "--append" at the beginning, and you should not need to specify the interface - omitting the "-i eth1" means that all packets will be forwarded from any interface (this may be your problem).
Cheers
Ritchie