Whats going on with mySQL

I am trying to install this application named socialengine and all is going well except on the mysql screen i keep getting this error

 The MySQL storage engine is not installed. 

I notice my sock file is here

mysqld --verbose --help | grep ^socket
110602 10:06:06 [Note] Plugin 'FEDERATED' is disabled.
socket                            /var/run/mysqld/mysqld.sock

So it appears to be running

So reading online i thought i can resolve this by adding this to my vim /etc/mysql/my.cnf file

[client]
port            = 3306
socket          = /var/run/mysqld/mysqld.sock

[mysqld_safe]
socket          = /var/run/mysqld/mysqld.sock
nice            = 0


[mysqld]

key_buffer = 224M
sort_buffer_size = 4M
read_buffer_size = 4M
read_rnd_buffer_size = 4M
myisam_sort_buffer_size = 12M
query_cache_size = 44M
default-storage-engine=innodb

basically I added the last line and then

 service mysql restart

but what happens is after i restart I now get this error that cant find my sock

Can't connect to local MySQL server through socket '/var/run/mysqld/mysqld.sock' (2)

what happen....and how do i address this

Update after running

ps axf | grep [m]ysql
 5056 ?        S      0:00 /bin/sh /usr/bin/mysqld_safe --skip-grant-tables --skip-networking
 5189 ?        Sl     3:57  \_ /usr/sbin/mysqld --basedir=/usr --datadir=/var/lib/mysql --user=mysql --skip-grant-tables --skip-networking --pid-file=/var/lib/mysql/li317-112.pid --socket=/var/run/mysqld/mysqld.sock --port=3306
10832 ?        Ssl    0:00 /usr/sbin/mysqld