Subdomains and DNS weirdness

In virtualmin I create a subdomain.

Then in Virtualmin/Subdomain/Logs and Reports/ Check Connectivity I get:
Nameserver lookup failed
Could not find any nameservers for subdomain.example.com
Check that your DNS domain has been registered.

The DNS record for example.com has the subdomain info added.
Is it missing something? The main domain and all other domains seem fine. The subdomain is accessible in a browser. What is messed up in the DNS setup?

$ttl 20M
@	IN	SOA	ns1.example.net. hostmaster.example.net. (
			2009063024
			2H
			1H
			1W
			20M )
@	IN	NS	ns1.example.net.
@	IN	NS	ns2.example.net.
example.com.	IN	A	xx.xx.xx.xx
www.example.com.	IN	A	xx.xx.xx.xx
ftp.example.com.	IN	A	xx.xx.xx.xx
localhost.example.com.	IN	A	127.0.0.1
mail.example.com.	IN	A	xx.xx.xx.xx
example.com.	IN	MX	5 mail.example.com.
example.com.	IN	TXT	"v=spf1 a mx a:example.com ip4:xx.xx.xx.xx -all"
subdomain.example.com.	IN	A	74.63.2.190
www.subdomain.example.com.	IN	A	xx.xx.xx.xx
ftp.subdomain.example.com.	IN	A	xx.xx.xx.xx
m.subdomain.example.com.	IN	A	xx.xx.xx.xx
localhost.subdomain.example.com.	IN	A	127.0.0.1
webmail.subdomain.example.com.	IN	A	xx.xx.xx.xx
admin.subdomain.example.com.	IN	A	xx.xx.xx.xx
mail.subdomain.example.com.	IN	A	xx.xx.xx.xx
subdomain.example.com.	IN	MX	5 mail.subdomain.example.com.

to take a wild guess here,

if the connectivity checker is looking for ns records then it would come up with his warning. you have A records for the sub server. your ns records are .net and the domain is .com

I don’t think there is a problem with the subserver, just a “shortcoming” of the checker

Thanks for replying Ronald!

ns1.example.net and ns2.example.net are my name servers.

When I check at squishy for ns record for the subdomain I also get an error (listed below) so I am worried that it is not the checker in Virtualmin but a problem with my record. it it normal for a subdomain to get this error?

My question is:
Since the main domain has ns records in the DNS record do sub servers require their own ns record?
subdomain IN NS ns1.example.net.
subdomain IN NS ns2.example.net.

www.squish.net/dnscheck/ ns check output:
Referral A.GTLD-SERVERS.NET

Asking A.GTLD-SERVERS.NET (192.5.6.30) for subdomain.example.com (type NS)

Referral: example.com is at ns1.example.net (xx.xx.xx.xx)
Referral: example.com is at ns2.example.net (yy.yy.yy.yy) ok
Referral ns1.example.net

Asking ns1.example.net (xx.xx.xx.xx) for subdomain.example.com (type NS)

Domain exists but there is no such record

Response is:
100.0% xx.xx.xx.xx (ns1.example.net) with no such record
Referral ns2.example.net

Asking ns2.example.net (yy.yy.yy.yy) for subdomain.example.com (type NS)

Domain exists but there is no such record

Response is:
100.0% yy.yy.yy.yy (ns2.example.net) with no such record
Response is:
50.0% yy.yy.yy.yy (ns2.example.net) with no such record
50.0% xx.xx.xx.xx (ns1.example.net) with no such record

what you can do is to add:

subdomain.example.com. 38400 IN NS ns1.example.net.

subdomain.example.com. 38400 IN NS ns2.example.net.

since you have the A records it will work, the complaint of squish is, it can’t find the NS record. If you add it, the complaint will go away.