Ftp – proftpd overwrite permission denied ftp user

I have a freebsd server with proftpd installed.
When I chmod 777 the directory I can overwrite files, but using 755 permissions on the folder I can not overwrite files in the folder.

In the conf file:
I changed 'AllowOverwrite' to 'on'
I changed User and group to 'root'
but that didn't help.

How do i fix this error?

Here is my proftpd.conf file:

ServerName          "Servername"
ServerType          standalone
ServerIdent         on      "Servers identifying string"
DeferWelcome            on
DefaultServer           on

DisplayLogin            .welcome    # Textfile to display on login
DisplayConnect          .connect    # Textfile to display on connection
#DisplayFirstChdir               .firstchdir    # Textfile to display on first changedir

UseReverseDNS               off
IdentLookups                off

Port                21
PassivePorts            60000 65000
Umask               022
MaxInstances                    15
MaxClientsPerHost               10      "Only %m connections per host allowed"
MaxClients                      10      "Only %m total simultanious logins allowed"
MaxHostsPerUser                 1

User                root
Group               root

ScoreboardFile          /var/log/scoreboard

# Some logging formats
LogFormat                   default     "%h %l %u %t \"%r\" %s %b"
LogFormat                   auth        "%v [%P] %h %t \"%r\" %s"
LogFormat                   write       "%h %l %u %t \"%r\" %s %b"

# Define log-files to use
TransferLog                 /var/log/proftpd.xferlog
ExtendedLog                 /var/log/proftpd.access_log    WRITE,READ write
ExtendedLog                 /var/log/proftpd.auth_log      AUTH auth
ExtendedLog                 /var/log/proftpd.paranoid_log  ALL default
SQLLogFile          /var/log/proftpd.mysql

# Set up authentication via SQL
# ===========
AuthOrder                       mod_sql.c
SQLAuthTypes            Backend
SQLConnectInfo              proftpd_admin@localhost proftpd Icl0ud
SQLUserInfo             usertable userid passwd uid gid homedir shell 
SQLGroupInfo            grouptable groupname gid members 
SQLUserWhereClause          "disabled=0 and (NOW()<=expiration or expiration=-1 or expiration=0)"

# Log the user logging in
SQLLog PASS counter
SQLNamedQuery counter UPDATE "lastlogin=now(), count=count+1 WHERE userid='%u'" usertable

# logout log
SQLLog EXIT time_logout
SQLNamedQuery time_logout UPDATE "lastlogout=now() WHERE userid='%u'" usertable

# display last login time when PASS command is given
SQLNamedQuery login_time SELECT "lastlogin from usertable where userid='%u'"
SQLShowInfo PASS "230" "Last login was: %{login_time}"

# xfer Log in mysql
SQLLog RETR,STOR transfer1
SQLNamedQuery  transfer1 INSERT "'%u', '%f', '%b', '%h', '%a', '%m', '%T', now(), 'c', NULL" xfer_stat
SQLLOG ERR_RETR,ERR_STOR transfer2
SQLNamedQuery  transfer2 INSERT "'%u', '%f', '%b', '%h', '%a', '%m', '%T', now(), 'i', NULL" xfer_stat


AllowStoreRestart       on
AllowRetrieveRestart        on
RequireValidShell               off
PathDenyFilter                  "\\.ftp)|\\.ht)[a-z]+$"
DefaultRoot             ~
DenyFilter          \*.*/


<Directory /usr/home/*>
    AllowOverwrite      on
    HideNoAccess        off
    <Limit READ>
        AllowAll
        </Limit>

    <Limit WRITE>
        DenyGroup   !admins
    </Limit>
</Directory>

<Directory /*>
    AllowOverwrite      on
    HideNoAccess        on

    <Limit READ>
            DenyGroup   !admins
        </Limit>

        <Limit STOR MKD>
            AllowAll
        </Limit>
</Directory>