Hi Tom,
Thanks a lot. What you suspected is correct. Permissions are modified on the 
underlying OS directory of this database. Once the permissions are rectified, 
I'm able to create tables without any issues.

Thanks to all for your support.

Venkat

-----Original Message-----
From: Tom Lane [mailto:[email protected]] 
Sent: Wednesday, August 05, 2009 6:46 AM
To: Venkateswara Rao Bondada
Cc: Rob Sargent; [email protected]
Subject: Re: [SQL] Create table command fails with permission denied 

Venkateswara Rao Bondada <[email protected]> writes:
> camd=# \c cms postgres
> You are now connected to database "cms" as user "postgres".
> cms=# create table test(id character varying(80));
> ERROR:  could not create relation "test": Permission denied

Actually, what that is complaining about is that the operating system
refused its attempt to create a filesystem file to hold the table.
It's got nothing to do with permissions inside the database --- there
is something wrong with the filesystem permissions of the data
directory.  Or maybe you started the postmaster as the wrong user
(not the one that owns the data directory).

                        regards, tom lane

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