> The TWSocketServer component suggests everything is closing ok and 
> had no unexpected open clients.

You can use a tool that shows open and close wait IP connections to
ensure they are closing correctly, System Internals has such a tool, or
there is a Delphi demo with the Internet Protocol Helper Component: 

http://www.magsys.co.uk/delphi/magiphlp.asp

> I do all of this from within the ClientConnect event since that's the
> only time I get anything fire for this type of device.

This does not seem very clever, since you will be blocking the
application. ClientConnect is where you pass the handle to your own
Twsocket that sends and receives data, and you should close the
connection when your protocol has nothing more to do, or using a timer
after it's been idle for x seconds, as happens in the FTP server
component. 

Angus

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