If you're not using NTP, you sometimes need "rdate" to set the system time. (I.e. use
rdate -s myserver followed by
To set up the server
This service is run by "xinetd" (which also serves evil things like "rlogin" "rsh" "ftp" etc.). This is already running on your system, but pretty much everything is turned off.
Edit: /etc/xinetd.d/time-stream and /etc/xinetd.d/time-dgram Set "disable = no", and restart the xinetd service.