what is your sme version ?
I do not understand your issue as it is common way to allow access in apache !!!!!
here another example for an ibay called ola
#------------------------------------------------------------
# ola ibay directories (essai)
#------------------------------------------------------------
<Directory /home/e-smith/files/ibays/ola/html>
SSLRequireSSL
Options None
Options +Indexes
Options +Includes
AllowOverride None
order deny,allow
deny from all
allow from all
AuthName "essai"
AuthType Basic
AuthBasicProvider external
AuthExternal pwauth
require user ola
Satisfy all
</Directory>
<Directory /home/e-smith/files/ibays/ola/cgi-bin>
Options ExecCGI
AllowOverride None
order deny,allow
deny from all
allow from all
AuthName "essai"
AuthType Basic
AuthBasicProvider external
AuthExternal pwauth
require user ola
Satisfy all
</Directory>
<Directory /home/e-smith/files/ibays/ola/files>
AllowOverride None
order deny,allow
deny from all
allow from all
AuthName "essai"
AuthType Basic
AuthBasicProvider external
AuthExternal pwauth
require user ola
Satisfy all
</Directory>