[pdftex] Hyperref and graphics

[John Usher]

Hello all,

I know this is a common problem from looking at previous postings, but I
really can't solve it and I am going maaad!!

I am trying to include graphics using PDFLATEX and the hyperref package.
I can include eps figures if I include the epsfig package, but only if I use
"\epsfig{figure=[file]}"
not if I use:
\begin{figure}
\epsfig{figure=[file]}
\caption{bum}
\label{something}
\end{figure}

and I can't include any other graphics format, eg with
\includegraphics{file}

this is a file example:
_________________________________________________________

\documentclass[12pt]{article}

\usepackage{epsfig}
\usepackage{psfrag}
\usepackage{doublespace, graphicx, subfigure}

\usepackage{latexsym,amssymb}
\usepackage{graphics}
\usepackage{color}

\usepackage[pdftex,                %%% hyper-references for pdflatex
bookmarks=true,                    %%% generate bookmarks ...
bookmarksnumbered=true,            %%% ... with numbers
hypertexnames=false,               %%% needed for correct links to figures
!!!
breaklinks=true,                   %%% break links if exceeding a single
line
colorlinks=true,            % links are colored
citecolor=green,              % color of cite links
pagecolor=blue,         % color of page links
linkcolor=cyan,         % color of hyperref links
menucolor=blue,         % color of Acrobat Reader menu buttons
urlcolor=magenta,       % color of page of \url{...}
linkbordercolor={0 0 1},           %%% blue frames around links
pdfborder= {0 0 1}]{hyperref}

\RequirePackage{amssymb}        % for navigation bar

\graphicspath{{graphix/}}

\textwidth = 6.5 in \textheight = 8.5 in \oddsidemargin = 0 in
\evensidemargin = 0 in \topmargin = 0.0 in \headheight = 14.5 pt
\headsep = 0.5 in
\parskip = 0.2in

\begin{document}
\DeclareGraphicsExtensions{.jpg,.pdf,.mps,.png}

\epsfig{figure=[file]}
%
%\begin{figure}
%\epsfig{figure=[file]}
%\caption{something}
%\label{something_else}
%\end{figure}


\end{document}
_______________________________________________________________


the log complains:
__________
! Too many }'s.
\color at endbox ->\color at endgroup \egroup

l.52 \end{figure}
__________

any help would be highly appriciated.

john