Hi,
Why do you say its netspy ? Is it just because that is listed as the most likely trojan on port 1024 or is there some 'evidence' on the box ? Actually, all of the stuff that uses 1024 by default seems to be windows based. However, lots of trojans can be configured to run on any port you like so its not that easy to know what it is just from the port.
Have you tried logging - you just add an identical rule before the 'drop' rule with target '-j LOG' .
The other thing to do is (as root) :
/usr/sbin/lsof -i TCP:1024
To see whats listening on that port ...
I have seen it said that KDM (KDE display manager) uses port 1024 so it might even be as innocent as that .
Regards