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I just spent several hours trying to track this solution down and finally came upon a solution. Figured I'de put a little how to here as a reminder and to share, as there were many similar issues throughout the drupal.org site.

The issue:

I'm working on a multilingual site for a client. 

I was creating a view so that I would have a block for my front page of some recent news items.
I'm using localization/translation/i18n modules that are fairly standard.

What was happening tho, was that while I was successfully having the
content only display items that had been translated (ie. Node
translation: Language = Current user's language )  the block title
wasn't changing when I had changed the language.  

In the block settings where I had selected the region, I had given it a custom title and chosen all languages.
What I found out is that there was no apparent way to access this title with the translation interface. 

There seemed to be a lot of different hackish workarounds, but I was looking for something that wasn't a patch to the module, nor something I would have to mess around with the css to make it look right (ie. solutions involving other block modules or a custom module above the view block with not titles but just content) 

What I found was that on my VIEW I could create 2 block displays... 

The first I called block, the second was block-french. Both were exactly the same as described above, but in block-french, for the title I clicked on the 'Override' button and added the french translation instead of using the default. Now maybe this was obvious to others, but being well versed in 5.x I hadn't fully explored views in the 6.x version :) 

So now that I have the two separate blocks, I go to my blocks admin and put them both in the same region only to display on the <front> page and then have ne of them assigned english and the other french.  And voila. 

Hope this helps some of you.