-bash: script/server: Permission denied (Error in Rails 2.3)

Today, when starting the Rails 2.3 application in a new setup (having Ruby 1.8.7) I got the below error message:

-bash: script/server: Permission denied

However the server did start when 'ruby' was prefixed to the 'script/server' command. After some search in the internet, found the below solution which solved the problem

chmod +x script/server