shared fax server connects but sends to local fax????

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We have a 2003 std sp2 server, a U.S. Robotics 56K FAX EXT fax modem, and
microsoft fax setup. When I try to send a fax, it connects to the number I am
sending to and says it goes through. Then it prints on the local fax machine.
We have tested multiple numbers and they ring and connect on the other end.
No error messages, nothing in the logs (system/apps/fax).

Any ideas?