Centos – n available repository to update OpenSSH to 4.8+ on Centos 5.4

If you want to use openssh's sftp you will need to update your openssh binaries. Centos doesn't provide an "official" repo with an 4.8> version, so you will have to compile/install it your self, or find a 3rd party repo that has it.

I looked at scponly, rssh and various other solutions involving complex configuration and chroot jails, but I found MySecureShell to be easy to configure and able to provide exactly what I needed.

It's the only shell I found that could let me hide files based on Regular Expressions. That way I can show different users different views of the same file tree.
Along with a properly configured WinSCP client, it give remote users access to their files in a well integrated and familiar environment, almost just as if they were connecting to a local file server.

Now, there are no installation packages for RedHat/CentOS, which is a shame, but installing from source is trivial. You lose the benefit of automated updates though.