diff -ur silc-server-1.0.2.orig/apps/silcd/command.c silc-server-1.0.2/apps/silcd/command.c
--- silc-server-1.0.2.orig/apps/silcd/command.c  2007-03-06 11:21:40.000000000 +0100
+++ silc-server-1.0.2/apps/silcd/command.c  2007-03-06 13:33:28.000000000 +0100
@@ -2441,10 +2441,22 @@
     channel = silc_server_create_new_channel(server, server->id, cipher,
                hmac, channel_name, TRUE);
     if (!channel) {
-      silc_server_command_send_status_data(
-          cmd, SILC_COMMAND_JOIN,
-          SILC_STATUS_ERR_UNKNOWN_ALGORITHM,
-          0, 2, cipher, strlen(cipher));
+      if (cipher) {
+    silc_server_command_send_status_data(
+              cmd, SILC_COMMAND_JOIN,
+              SILC_STATUS_ERR_UNKNOWN_ALGORITHM,
+              0, 2, cipher, strlen(cipher));
+      } else if (hmac) {
+    silc_server_command_send_status_data(
+              cmd, SILC_COMMAND_JOIN,
+              SILC_STATUS_ERR_UNKNOWN_ALGORITHM,
+              0, 2, hmac, strlen(hmac));
+      } else {
+    silc_server_command_send_status_reply(
+              cmd, SILC_COMMAND_JOIN,
+              SILC_STATUS_ERR_RESOURCE_LIMIT,
+              0);
+      }
       silc_free(client_id);
       goto out;
     }
@@ -2505,10 +2517,22 @@
     channel = silc_server_create_new_channel(server, server->id, cipher,
                hmac, channel_name, TRUE);
     if (!channel) {
-      silc_server_command_send_status_data(
-               cmd, SILC_COMMAND_JOIN,
-               SILC_STATUS_ERR_UNKNOWN_ALGORITHM, 0,
-               2, cipher, strlen(cipher));
+      if (cipher) {
+    silc_server_command_send_status_data(
+              cmd, SILC_COMMAND_JOIN,
+              SILC_STATUS_ERR_UNKNOWN_ALGORITHM,
+              0, 2, cipher, strlen(cipher));
+      } else if (hmac) {
+    silc_server_command_send_status_data(
+              cmd, SILC_COMMAND_JOIN,
+              SILC_STATUS_ERR_UNKNOWN_ALGORITHM,
+              0, 2, hmac, strlen(hmac));
+      } else {
+    silc_server_command_send_status_reply(
+              cmd, SILC_COMMAND_JOIN,
+              SILC_STATUS_ERR_RESOURCE_LIMIT,
+              0);
+      }
       silc_free(client_id);
       goto out;
     }
@@ -2541,10 +2565,22 @@
   channel = silc_server_create_new_channel(server, server->id, cipher,
              hmac, channel_name, TRUE);
   if (!channel) {
-    silc_server_command_send_status_data(
-               cmd, SILC_COMMAND_JOIN,
-               SILC_STATUS_ERR_UNKNOWN_ALGORITHM, 0,
-               2, cipher, strlen(cipher));
+    if (cipher) {
+        silc_server_command_send_status_data(
+        cmd, SILC_COMMAND_JOIN,
+        SILC_STATUS_ERR_UNKNOWN_ALGORITHM,
+        0, 2, cipher, strlen(cipher));
+    } else if (hmac) {
+        silc_server_command_send_status_data(
+        cmd, SILC_COMMAND_JOIN,
+        SILC_STATUS_ERR_UNKNOWN_ALGORITHM,
+        0, 2, hmac, strlen(hmac));
+    } else {
+        silc_server_command_send_status_reply(
+        cmd, SILC_COMMAND_JOIN,
+        SILC_STATUS_ERR_RESOURCE_LIMIT,
+        0);
+    }
     silc_free(client_id);
     goto out;
   }