problem booting from LiveCD over NFS

[Boris Bartzitz]

hello,

maybe this is a wrong place to ask, but i've tried googling, asking on
forums and IRC with no luck, so here's the problem:

i've setup an install server to boot and install many clients in the
local network. the following steps are succesfull:

- PXE boot
- kernel and initrd boot
- squashfs filesystem mount over NFS
- unionfs writeable points

then in the very bottom of init script in the initrd image the
following is called:

run-init /root /sbin/init

which should pass the boot process to init from squashfs filesystem.
when it comes to "Checking filesystems..." step it doesn't see
/dev/shm and complains some /dev/shm/var.* dirs can't be created and
drops to BusyBox shell. i think init still looks in the / instead of
/root.

any ideas?