Telnet is baaad...
I always search for telnet servers when im trying to hack a network.

If you just want to transfer files and ****, then id recommend FTP
if you want it to be a bit moe transparent, then dont run it on port 21, or 2121 for that matter. Use somthing crazy, like 54323

telnet is such a security risk...

SSH would be good if that what your looking for.

A good FTP server for windows (in my opinion) is War FTP