OK, I dropped the 1.6.2.jar file into myproj/mcp/jars/versions/1.6.2 folder and that resolved the first error..
Any idea where I drop the minecarft_server_1.6.2.jar file to overcome the server back error?
================ Forge ModLoader Setup Start ===================
MCP Detected already, not downloading
Setting up MCP
Patching commands.py
patching file commands.py
Commands patch applied successfully
Copying FML conf
Creating Repackaged data
Creating re-packaged srg
Creating re-packaged exc
Creating re-packaged MCP patches
Backing up client
Backing up server
Download of minecraft_server.1.6.2.jar failed md5 check, deleting
Something failed verifying minecraft files, see log for details.
Decompile Exception: 1
Press any key to continue . . .