For people using a mac to create their dxf drawings.

Incase anyone else was struggling with the same problem. When you export dxf files from illustrator on a mac they get saved with mac line endings and cant be imported into newlydraw.
To solve this I opened the dxf files up in wordpad or similar windows program and saved the files in dos format. They then opened nicely in newlydraw, (to scale as well).

I am using a dual boot macbook with newlydraw on the windows partition. I was about to buy a windows version of illustrator or coral.....