I ran hciconfig -a and I get this
~ $ hciconfig -a
hci0: Type: BR/EDR Bus: USB
BD Address: 00:15:83:44:3C:21 ACL MTU: 310:10 SCO MTU: 64:8
UP RUNNING PSCAN ISCAN
RX bytes:520 acl:0 sco:0 events:26 errors:0
TX bytes:830 acl:0 sco:0 commands:25 errors:0
Features: 0xff 0xff 0x8f 0xfe 0x9b 0xff 0x59 0x83
Packet type: DM1 DM3 DM5 DH1 DH3 DH5 HV1 HV2 HV3
Link policy: RSWITCH HOLD SNIFF PARK
Link mode: SLAVE ACCEPT
Service Classes: Unspecified
Device Class: Miscellaneous,
HCI Version: 2.1 (0x4) Revision: 0x149c
LMP Version: 2.1 (0x4) Subversion: 0x149c
Manufacturer: Cambridge Silicon Radio (10)
The blue tooth dongle is installed it's the GUI manager Blueman that doesn't work and seems to be broken. I have had Blueman working in the past, but it would only generally work with an over clocked pi. I managed to install bluedevil on my 386 machine and it worked on that, unfortunately bluedevil bricked the pi desktop. I had to re-image my SD card which luckily I had backed up last week. I want to run my pi's headless and interface them to mobile devices to provide the display information.
Anyway I am fed up of trying to get the blue tooth stack to work on the raspberry pi, so I am going to try a different tack.
I am going to buy a dedicated bluetooth serial port module as they are fairly cheap and attach this to the pi through the GPIO serial port. This should hopefully take the load off the pi as it won't have to run the blue tooth stack, which it doesn't seem fast enough to do properly anyway unless you over clock you pi.
I also tried to query the size of the white list and I got this so I was wondering if some of the config files are missing or corrupted, and thus Blueman gui fails because of this.
sudo hcitool lewlsz
Can't read white list size: Input/output error(5)