Mongrel Cluster on Ubuntu Server Karmic

I am trying to get mongrel cluster working on my Ubuntu Server Karmic box in preparation to setup Capistrano. I've been trying to get the two to work all day and finally decided to completely remove Capistrano and see if I can just get Mongrel Cluster to work.

I ran this to install mongrel cluster:

gem install mongrel mongrel_cluster

Everything installed fine, when I change into my app's directory...

# mongrel_rails
-bash: mongrel_rails: command not found

I can run it from its install location:

# /var/lib/gems/1.8/bin/mongrel_rails               
Usage: mongrel_rails <command> [options]
Available commands are:
...

It lets me build the cluster configuration file fine, but when I run the clister:start command:

# /var/lib/gems/1.8/bin/mongrel_rails cluster::start                               
starting port 8000
/usr/lib/ruby/1.8/rubygems/custom_require.rb:31: command not found: mongrel_rails start -d -e production -p 8000 -P tmp/pids/mongrel.8000.pid -l log/mongrel.8000.log

starting port 8001
/usr/lib/ruby/1.8/rubygems/custom_require.rb:31: command not found: mongrel_rails start -d -e production -p 8001 -P tmp/pids/mongrel.8001.pid -l log/mongrel.8001.log

starting port 8002
/usr/lib/ruby/1.8/rubygems/custom_require.rb:31: command not found: mongrel_rails start -d -e production -p 8002 -P tmp/pids/mongrel.8002.pid -l log/mongrel.8002.log

It seems it isnt calling it from the right directory after that command, what can I do to fix this? I tried setting the path previously when trying to set up Capistrano, but the path didnt stay set when Capistrano used ssh to run the commands.