Read lots of form posts on this issue.
Turns out I had the config correct, but when inserting my session scoped proxy into the singleton I logged the insert via log4j. But what that actually did was trying to create the actual session scoped bean, resulting in a session not bound exception during startup of the application. So to anybody out there who is pulling out their hair right now.. Make sure you do not call any methods on the proxy before you are actually in a session!!!!

Regards and hope this helps!