Configuring sshd for authentication on RHEL6, seeing access denied and no supported auth methods

[AlokSharma1]

I'm trying to configure sshd for rsa authentication on RHES 6. su authentication with rsa tokens works fine. I have modified sshd_config, as well as /etc/pam.d/sshd - but I get errors of access denied or no supported authentication methods when I ssh to this

$OpenBSD: sshd_config,v 1.80 2008/07/02 02:24:18 djm Exp $

# This is the sshd server system-wide configuration file.  See
# sshd_config(5) for more information.

# This sshd was compiled with PATH=/usr/local/bin:/bin:/usr/bin

# The strategy used for options in the default sshd_config shipped with
# OpenSSH is to specify options with their default value where
# possible, but leave them commented.  Uncommented options change a
# default value.

#Port 22
#AddressFamily any
#ListenAddress 0.0.0.0
#ListenAddress ::

# Disable legacy (protocol version 1) support in the server for new
# installations. In future the default will change to require explicit
# activation of protocol 1
Protocol 2

# HostKey for protocol version 1
#HostKey /etc/ssh/ssh_host_key
# HostKeys for protocol version 2
#HostKey /etc/ssh/ssh_host_rsa_key
#HostKey /etc/ssh/ssh_host_dsa_key

# Lifetime and size of ephemeral version 1 server key
#KeyRegenerationInterval 1h
#ServerKeyBits 1024

# Logging
# obsoletes QuietMode and FascistLogging
#SyslogFacility AUTH
SyslogFacility AUTHPRIV
#LogLevel INFO

# Authentication:

#LoginGraceTime 2m
#PermitRootLogin yes
#StrictModes yes
#MaxAuthTries 6
#MaxSessions 10

#RSAAuthentication yes
#PubkeyAuthentication yes
#AuthorizedKeysFile     .ssh/authorized_keys
#AuthorizedKeysCommand none

 For this to work you will also need host keys in /etc/ssh/ssh_known_hosts
#RhostsRSAAuthentication no
# similar for protocol version 2
#HostbasedAuthentication no
# Change to yes if you don't trust ~/.ssh/known_hosts for
# RhostsRSAAuthentication and HostbasedAuthentication
#IgnoreUserKnownHosts no
# Don't read the user's ~/.rhosts and ~/.shosts files
#IgnoreRhosts yes

# To disable tunneled clear text passwords, change to no here!
#PasswordAuthentication yes
#PermitEmptyPasswords no
PasswordAuthentication no

# Change to no to disable s/key passwords
#ChallengeResponseAuthentication yes
ChallengeResponseAuthentication yes

# Kerberos options
#KerberosAuthentication no
#KerberosOrLocalPasswd yes
#KerberosTicketCleanup yes
#KerberosGetAFSToken no

# GSSAPI options
#GSSAPIAuthentication no
GSSAPIAuthentication yes
#GSSAPICleanupCredentials yes
GSSAPICleanupCredentials yes
#GSSAPIStrictAcceptorCheck yes
#GSSAPIKeyExchange no

# Set this to 'yes' to enable PAM authentication, account processing,
# and session processing. If this is enabled, PAM authentication will
# be allowed through the ChallengeResponseAuthentication and
# PasswordAuthentication.  Depending on your PAM configuration,
# PAM authentication via ChallengeResponseAuthentication may bypass
# the setting of "PermitRootLogin without-password".
# If you just want the PAM account and session checks to run without
# PAM authentication, then enable this but set PasswordAuthentication
# and ChallengeResponseAuthentication to 'no'.
#UsePAM no
UsePAM yes

[root@am8-linux1 pam.d]# more /etc/pam.d/sshd
#%PAM-1.0
auth    required        pam_stack.so service=system-auth
auth    required        pam_securid.so
auth    required        pam_nologin.so
#auth      required     pam_sepermit.so
#auth       include      password-auth
#account    required     pam_nologin.so
#account    include      password-auth
account required        pam_stack.so service=system-auth
password        required        pam_stack.so service=system-auth
#password   include      password-auth
# pam_selinux.so close should be the first session rule
#session    required     pam_selinux.so close
session required        pam_stack.so service=system-auth
session    required     pam_loginuid.so
# pam_selinux.so open should only be followed by sessions to be executed in the user context
#session    required     pam_selinux.so open env_params
#session    optional     pam_keyinit.so force revoke
#session    include      password-auth