I just tried it again, and here it works nicely. Using psionics Ant that is a hierarchy of child meshes and some bones, saved as B3D Animation. It also works with some .3DS animated Chars, taken from the Darkmatter CD and partially edited in 3dsMAX (tho the hierarchy wasn't edited).
Could it be that your top parent entity in the mesh hierarchy is a bone-pivot only (I mean in CFX)? Probably the top parent should also be connected to a mesh. Other than that I have no idea what the problem is since, as I said, it works ok here. I remember I had this problem too, some time ago, and maybe that char had an additional top pivot that was isolated from the meshes.
Could it be that your top parent entity in the mesh hierarchy is a bone-pivot only (I mean in CFX)? Probably the top parent should also be connected to a mesh. Other than that I have no idea what the problem is since, as I said, it works ok here. I remember I had this problem too, some time ago, and maybe that char had an additional top pivot that was isolated from the meshes.