I finally got my launcher to have a transparent background by following these steps:

cd /usr/lib/luna/system/luna-applauncher/stylesheets
vi launcher.css

comment out the following background lines by adding /* to the beginning and */ to the end of the line

Under .root {

background: url(../images/scrim.png)

Under .launcher_fade_bottom {

background: url(../images/launcher-page-fade-bottom.png)

Under .launcher_fade_top {

background: url(../images/launcher-page-fade-top.png)
But the problem im having is that the launcher wont let me scroll up and down after i did the following...can somebody help me pleasee...here is what the part of the launcher.css looks like

.root {

position:relative;
overflow:hidden;
left:0px;
top:0px;
width:320px;
height: 480px;
/*background-image:url(../images/scrim.png)*/;



}

#launcher_root {
left: 0px;
top: 0px;
width: 320px;
height: 100%;
}

.launcher_fade_bottom {
position: absolute;
bottom: 0px;
/* background: url(../images/launcher-page-fade-bottom.png)*/ center center no-repeat;
z-index:20;
left:0px;
width:320px;
height:30px;
-webkit-palm-mouse-target: ignore;
}

.launcher_arrow_bottom {
position: absolute;
width: 100%;
z-index: 29;
height: 24px;
bottom: 1px;
background: url(../images/fade-arrow-down.png) center center no-repeat;
-webkit-palm-mouse-target: ignore;
}

.launcher_fade_top {
position:absolute;
/* background: url(../images/launcher-page-fade-top.png)*/ center center no-repeat;
z-index:20;
left:0px;
top:0px;
width:320px;
height:30px;
-webkit-palm-mouse-target: ignore;
}

whats the reason for it not letting me scroll...all help is greatly appreciated!!