I have a strange issue going on here and I'm hoping someone has some insight. Here is a summary

An email is sent to an account which goes through perfectly fine. Microsoft outlook picks up the message perfectly fine as does an iPhone. The problem is that the message does not show up as a "new" message on the iPhone. The when I go to the iphone mail application it is showing the message is already read. Do you have any idea why they are being marked as read by the server and/or outlook?

Server: cPanel 11.24.4-R36167 - WHM 11.24.2 - X 3.9 CentOS 4.7 i686
Outlook: 2007

In the advanced settings of outlook I have the box checked "leave copy of message on server" and I don't have any "rules" in outlook associated with this account.