I too have the same issue.  Since the integration i have had people try to (including myself on a test user acct) log in.  passwords were (possibly) forgotten and i clicked the link for forgotten password.  i got the email with the link and once i change / update the password the activation error comes in.

i look forward to assistance with this post.

V-

Tom,

Thank you very much for leaving this post here!!!!!!!!  I spent over 6hrs searching and trying everything i could think of (and I don't know jack about php).  Finally i got it working.