As bigstar said..... the folders are not 'transfered' flashfxp sees the folders on one side... and created them on the other, this will work regardless of if the xbox/ftp is able to fxp.
According to your log, the ftp server in your xboxs does not support PASV mode, at least one of the connections (sides) in a site to site transfer must support PASV mode for fxp to work.
Concider using a dashboard/server on your xbox(s) that supports PASV mode, or alternatively you may have to transfer... xbox1 > pc > xbox2... using a ftp server on your pc that properly supports PASV mode transfers.
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