Authentication fails

When running Quantum client - got the following:
openstack@openstack:~/devstack$ quantum net-list
ERROR: cliff.app [Errno 2] No such file or directory: '/opt/stack/quantum/etc/policy.json'

On the server side:
2012-08-13 02:06:18 DEBUG [routes.middleware] Match dict: {'action': u'index', 'controller': wsgify(quantum.api.v2.resource.resource, RequestClass=<class 'quantum.api.v2.resource.Request'>), 'format': u'json'}
2012-08-13 02:06:18 ERROR [quantum.api.v2.resource] index failed
Traceback (most recent call last):
  File "/opt/stack/quantum/quantum/api/v2/resource.py", line 95, in resource
  File "/opt/stack/quantum/quantum/api/v2/base.py", line 193, in index
  File "/opt/stack/quantum/quantum/api/v2/base.py", line 167, in _items
  File "/opt/stack/quantum/quantum/policy.py", line 71, in check
  File "/opt/stack/quantum/quantum/policy.py", line 51, in init
  File "/opt/stack/quantum/quantum/common/utils.py", line 90, in read_cached_file
  File "/usr/lib/python2.7/genericpath.py", line 54, in getmtime
    return os.stat(filename).st_mtime
OSError: [Errno 2] No such file or directory: '/opt/stack/quantum/etc/policy.json'
2012-08-13 02:06:18 DEBUG [eventlet.wsgi.server] 127.0.0.1 - - [13/Aug/2012 02:06:18] "GET /v2.0/ports.json?tenant_id=8ec3b2ba15ba415cb2931d938877bd0e&device_id=1df7fb96-f45e-4637-8530-bbd18d39d2cf HTTP/1.1" 500 220 0.034509

The file exists:
drwxr-xr-x 127 root root 12288 Aug 13 01:55 ../
-rw-rw-r-- 1 openstack openstack 865 Aug 13 01:55 api-paste.ini
-rw-rw-r-- 1 openstack openstack 1619 Aug 13 01:55 dhcp_agent.ini
drwxrwxr-x 3 openstack openstack 4096 Aug 11 04:53 plugins/
-rw-rw-r-- 1 openstack openstack 768 Aug 13 01:55 policy.json
-rw-rw-r-- 1 openstack openstack 5170 Aug 13 01:55 quantum.conf