Due to your reply / questions, I went and talked to the hardware guys. We ended up pulling up the full circuit for the SCM-232 module and looked at whats driving the LED.
The good news is that the LED is driven off the data coming into the module.
In other words, its not a software LED that can do different functions.
What does this mean for you? It means that the RX LED is hooked directly to the incoming data.
You do NOT need to worry about ANY software configurations to get the RX flashing.
As long as there is power on the rack (and thus to the module), the RX LED will flash when the module sees data.
In fact, you don't even need a controller or EB on the rack for the LED to flash as the data comes in.
So, bottom line. We need to take a good close look at whats going on with the wiring.....
Does the badge reader require any data to be sent to it in order for it to do a read?
Or, does it simply spit out data when a badge is read?
If this is the case, then we should be able to just hook ground, and TX from the reader to the module.
It should be a simple test like that get started.
Do you know the voltage of the reader serial data?
+/- 12 v is the 232 standard, but there are lots of manufacturers that bend (ie, break) that standard.
So, to summarize.
Lets take a step back from the software and any error codes and lets just 100% focus on getting that RX LED to flash as it sees data.
With out this working, everything that follows is just noise.