Just in case someone else has the same problems like me. This is how I fixed the problem after some ideas from CISCO support.
I gave your troubleshooting idea a try by setting up all lines 1-16.
I went through and setup every single line on the Access Server and then went through each one to see what happens. I was going through each line and was still getting either the statement that the line was open or I was un-able to enter anything. I actually got to my last switch and just kept hitting enter until weird characters were being displayed on the screen. I remember seeing this sort of thing when the port speeds were wrong when doing just a basic connection to a router from a PC. I changed the port speeds and gave it a try again.
I tried my first router but got the same Open statement and nothing else. I then tried all other routers and switches and was now able to remote into them fine. I went out and inspected my first router and the octal cable. It seems there was a little bit of damage on the ethernet end of the octal cable ..... quite small if you didnt have a hard look. I then plugged in another cable line and am now able to access the first router.
Thanks for ideas to try ..... its good I dont have to go buy another Access Server
Now I can get back to studying for my qualifications.