Make sure the Elk is online. Try pinging the IP Address to make sure it is online. Use a telnet client like Putty to confirm the Elk is accepting connections. Using Putty, connect to the IP address of the Elk on port 2101. If you get a connection refused message, it means the Elk is not properly setup.
You need to make sure the Elk and the M1XEP is properly configured. The M1XEP needs port 2101 and unsecured to be enabled. See example screenshot.
Make sure the Elk configuration software is not connected when you test the driver. If it is disconnect it.