Are you sure the drives are good? It kinda sounds like you've got a bad drive and you may be wasting your time. Keep in mind that SCSI is a bus architecture so any bad device can make that whole channel look bad. That is, one bad device can make them all look bad.
If this is a new disk for this system, I would first confirm that you've got a drive that's compatable with the system. Not all SCSI devices are compatible. docs.sun.com should have detailed info on your system. The manufacturer should have detail on the drive.
Second, I would try yanking all hard drives and just booting to the CD. It may gripe about no device to install to, but it should still come up without giving complaints about the CD drive.
If you have another system, you can try putting the drive in question into it as a second drive, and then do a "format" to maybe repartition and do a surface test and build a good defect list. Then put it back into the system you're trying to install it in and run through the whole install again.
You could also have a bad SCSI controller. After all, the controller is a peer device on the SCSI bus. Bad cable maybe?
It just sounds like a hardware problem now. You are successfully booting to the CD, but as soon as you start accessing that device, the universe colapses.