I have Postfix/DoveCot/SASL with mysql setup up running on Ubuntu Server 10.04. I believe that when the mail comes in, something in the settings is not allowing the data to be parsed correctly resulting in the User unknown error.
Here is the output from postfinger postfinger - postfix configuration on Fri Dec 14 11:14:05 PST 2012 version: 1.30 Warning: postfinger output may show private configuration information, such as ip addresses and/or domain names which you do not want to show to the public. If this is the case it is your responsibility to modify the output to hide this private information. [Remove this warning with the --nowarn option.] --System Parameters-- mail_version = 2.7.0 hostname = www.cross-town-traffic-software.com uname = Linux www.cross-town-traffic-software.com 3.6.5-linode47 #1 SMP Sun Nov 4 12:51:35 EST 2012 i686 GNU/Linux --Packaging information-- looks like this postfix comes from deb package: postfix-2.7.0-1ubuntu0.2 --main.cf non-default parameters-- alias_maps = hash:/etc/aliases append_dot_mydomain = no biff = no broken_sasl_auth_clients = yes debug_peer_list = 127.0.0.1 home_mailbox = mail/ html_directory = /usr/share/doc/postfix/html mailbox_size_limit = 30820000 message_size_limit = 30720000 mydestination = $mydomain,localhost, localhost.localdomain myhostname = cross-town-traffic-software.com mynetworks = 127.0.0.0/8,173,255.254.7 myorigin = /etc/mailname proxy_read_maps = $local_recipient_maps $mydestination $virtual_alias_maps $virtual_alias_domains $virtual_mailbox_maps $virtual_mailbox_domains $relay_recipient_maps $relay_domains $canonical_maps $sender_canonical_maps $recipient_canonical_maps $relocated_maps $transport_maps $mynetworks $virtual_mailbox_limit_maps recipient_delimiter = + smtpd_banner = $myhostname ESMTP $mail_name (Ubuntu) smtpd_recipient_restrictions = permit_mynetworks, permit_sasl_authenticated, reject_unauth_destination smtpd_sasl_auth_enable = yes smtpd_sasl_authenticated_header = yes smtpd_tls_cert_file = /etc/postfix/smtpd.cert smtpd_tls_key_file = /etc/postfix/smtpd.key smtpd_tls_session_cache_database = btree:${data_directory}/smtpd_scache smtpd_use_tls = yes smtp_tls_session_cache_database = btree:${data_directory}/smtp_scache virtual_alias_domains = virtual_alias_maps = proxy:mysql:/etc/postfix/mysql-virtual_forwardings.cf, mysql:/etc/postfix/mysql-virtual_email2email.cf virtual_gid_maps = static:5000 virtual_mailbox_base = /home/vmail virtual_mailbox_domains = proxy:mysql:/etc/postfix/mysql-virtual_domains.cf virtual_mailbox_maps = proxy:mysql:/etc/postfix/mysql-virtual_mailboxes.cf virtual_transport = dovecot virtual_uid_maps = static:5000 --master.cf-- smtp inet n - - - - smtpd -v pickup fifo n - - 60 1 pickup cleanup unix n - - - 0 cleanup qmgr fifo n - n 300 1 qmgr tlsmgr unix - - - 1000? 1 tlsmgr rewrite unix - - - - - trivial-rewrite bounce unix - - - - 0 bounce defer unix - - - - 0 bounce trace unix - - - - 0 bounce verify unix - - - - 1 verify flush unix n - - 1000? 0 flush proxymap unix - - n - - proxymap proxywrite unix - - n - 1 proxymap smtp unix - - - - - smtp relay unix - - - - - smtp -o smtp_fallback_relay= showq unix n - - - - showq error unix - - - - - error retry unix - - - - - error discard unix - - - - - discard local unix - n n - - local virtual unix - n n - - virtual lmtp unix - - - - - lmtp anvil unix - - - - 1 anvil scache unix - - - - 1 scache maildrop unix - n n - - pipe flags=DRhu user=vmail argv=/usr/bin/maildrop -d ${recipient} uucp unix - n n - - pipe flags=Fqhu user=uucp argv=uux -r -n -z -a$sender - $nexthop!rmail ($recipient) ifmail unix - n n - - pipe flags=F user=ftn argv=/usr/lib/ifmail/ifmail -r $nexthop ($recipient) bsmtp unix - n n - - pipe flags=Fq. user=bsmtp argv=/usr/lib/bsmtp/bsmtp -t$nexthop -f$sender $recipient scalemail-backend unix - n n - 2 pipe flags=R user=scalemail argv=/usr/lib/scalemail/bin/scalemail-store ${nexthop} ${user} ${extension} mailman unix - n n - - pipe flags=FR user=list argv=/usr/lib/mailman/bin/postfix-to-mailman.py ${nexthop} ${user} dovecot unix - n n - - pipe flags=DRhu user=vmail:vmail argv=/usr/lib/dovecot/deliver -d ${recipient} -- end of postfinger output --