Unable to register MS SQL Server under Federated Objects

We're running DB2 10.5 LUW on Windows Server 2008 R2, and I'm having problems adding MS SQL Server 2008 as a Federated Object.

Just some notes about our setup, I do have Federated enabled on the server:
Federated Database System Support (FEDERATED) = YES

I've created C:\Program Files\IBM\SQLLIB\cfg\db2dj.ini which contains this:
DJX_ODBC_LIBRARY_PATH=c:\Windows\system32
ODBCINI=c:\windows\odbc.ini

Here's what's in odbc.ini:
[ODBC 32 bit Data Sources]
MS_SQL_TargetDB=SQL Server (32 bit)
[MS_SQL_TargetDB]
Driver32=C:\Windows\system32\SQLSRV32.dll

And I've created a System DNS pointing back to our MS SQL Server which tests successfully:
Attachment 14606

But when I go into Data Studio 4.1 and attempt to add the Wrapper for MS SQL neither the data source or the MS SQL DLL is showing-up:
Attachment 14607

Attachment 14608

I'm reviewing the Red Book on IBM InfoSphere Federation Server 10.1 (latest version I could find) which covers this starting on page 101, and though I believe I've setup everything correctly I'm still unable to get this going. Oh, and I did stop and restart the server after all changes.

So if anyone can point me in the correct direction or see something I've missed please let me know. Something else to note, all the settings above are being made on the server, but I'm running Data Studio on my workstation. When it looks for the DSN and Drivers is it pulling this from the server or from my workstation? I'd rather not have to install Data Studio on the server if I can void it.

Thanks and take care.

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