Halo - Keyboard Connectivity Issue

Good Evening,

Who: Me, Jarrod
What: Keyboard Problems [Have both a wired and bluetooth Keyboard around]
Where: Navigating Main Menu / In Game
When: Everywhere except when inputting text into a name
Why: Thus why I am posting.

1. Got Halo 2.0
2. Set-up my profile (the game is allowing me to type my name in)
3. Noted that the keyboard did not work to navigate or to in the main menu (which at first was peculiar), I was able to put in my name.
4. Started campaign, could not press E to get out of Cryo-Tube.
5. Went to settings to see what was up? Could not change the settings as they did not react to new input from the keyboard.
6. Tried in a multiplayer game, no movement. Mouse works beautifully.
7. Updated to Halo 2.02 -> Same issues 3-6.
8. Began to hit my head against the desk repeatedly.

I was wondering if this was either:
1. Permissions issue
2. Preferences issues (interfering with System Preferences for expose' et al)

Feel free to chime in, and help a Seattlite out.

Best.

iMac 24 intel
Wired apple keyboard.

 

Update: I can still run expose' and all of my other F keys during the game.

See title.