fixed up the telnet to work (using support from Linus Nielsen)

lib/telnet.c

@@ -872,20 +872,22 @@ CURLcode Curl_telnet(struct connectdata *conn)
         }
       }
 
-      if(FD_ISSET(sockfd, &readfd))
+      if(FD_ISSET(sockfd, &readfd)) {
         Curl_read(conn, sockfd, buf, BUFSIZE - 1, &nread);
 
-      /* if we receive 0 or less here, the server closed the connection and
-         we bail out from this! */
-      if (nread <= 0) {
-        keepon = FALSE;
-        break;
-      }
+        /* if we receive 0 or less here, the server closed the connection and
+           we bail out from this! */
+        if (nread <= 0) {
+          keepon = FALSE;
+          break;
+        }
 
-      telrcv(data, (unsigned char *)buf, nread);
+        telrcv(data, (unsigned char *)buf, nread);
+      }
     }
   }
-  return CURLE_OK;
+  /* mark this as "no further transfer wanted" */
+  return Curl_Transfer(conn, -1, -1, FALSE, NULL, -1, NULL);
 }
 
 

lib/transfer.c

@@ -161,6 +161,12 @@ _Transfer(struct connectdata *c_conn)
   Curl_pgrsTime(data, TIMER_PRETRANSFER);
   Curl_speedinit(data);
 
+  if((conn->sockfd == -1) &&
+     (conn->writesockfd == -1)) {
+    /* nothing to read, nothing to write, we're already OK! */
+    return CURLE_OK;
+  }
+
   if (!conn->getheader) {
     header = FALSE;
     if(conn->size > 0)