I have installed SU binary via ADB to /system/xbin. Installed SuperUser App
I can't update BusyBox via Titanium Backup or the BusyBox installer.
Busybox installer app complains about not being able to remount rw for /system even if it is rw via adb.
Titanium just fails never calls up Superuser app, Same with Busybox.
I have a feeling it is looking for the /etc/fstab for mount and unmount as well as some back end permission issues with busybox.
Mainly the "Must be suid on order to work properly" message.
I am thinking whatever user android is running as needs to belong to the correct root group.
Whoami under phone shows unknown id 10049. I am tracking down to see how to set it correctly.
Also looks as if /system/xbin has everything as user root and userid as 2000 except busybox which is root
Android UIDs and GIDs - Android Wiki
This shows userid is adb/shell user id. Copying su over sets permissions for root root.