please help? – problems with blog inside DIV – version 3.1.3

I have my blog nested inside div’s (also tried it in iframes) – but when i click on the top bar nav’s while logged in, it redirects to a blank white page.
I have looked all over the place to define a Target, but can’t find it anywhere.
I want to keep this blog hidden from the public and password protected, so this is why it’s a problem.
When the client clicks to go to the blog, the password window should come up, but it just goes to white page… nothing..
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it’s not a password or plugin problem, as it happens to me as well when logged in, and any link i click on (while using it embedded) it does this…. it works fine while it’s the only thing loaded in the window (not embedded)
any help would be great!!!