2.7 can't find sources when target VM started with -jar

I'm trying to debug an application which comes packaged as a JAR
file -- JMeter to be specific.

In JSwat's "Start VM" window, I type:
        Java Home:              /home/opt/j2sdk1.4.0_01/jre [i.e. the value JSwat provided]
        JVM Executable:         java
        Debuggee VM options:    -jar
        Class name & arguments: /home/erics/p/jmeter/jmeter/bin/ApacheJMeter.jar
                                                        [yup, two "jmeter/"'s]

JSwat says:
        VM loading with following options, class name, and class arguments.
        /home/opt/j2sdk1.4.0_01/jre/bin/java -jar  -cp "/home/erics/p/jmeter/jmeter/bin/ApacheJMeter.jar" 
        /home/erics/p/jmeter/jmeter/bin/ApacheJMeter.jar
        VM loaded
        Source for class not find. Check sourcepath. (Class: /home/erics/p/jmeter/jmeter/bin/ApacheJMeter.jar )

JSwat *is* able to launch the VM, and when I hit "resume", the
target program does indeed come up, but JSwat's source pane stays
empty.

Note that the sources themselves are *not* jarred; they're in a
directory tree.

The sourcepath appears correct; if I reset the classpath (since
JSwat set it to just the JAR file) and start the VM with the
class name instead of the "-jar jarfile", everything works.

Am I doing something wrong, or is this a bug?  It *looks* like a
bug (that "Class: /home/erics/p/jmeter/jmeter/bin/ApacheJMeter.jar"
seems mighty suspicious), but I'm reluctant to file a report on
it without running it by people first...

Thanks.

--

|  | /\
|-_|/  >   Eric Siegerman, Toronto, Ont.        [email protected]
|  |  /
Anyone who swims with the current will reach the big music steamship;
whoever swims against the current will perhaps reach the source.
        - Paul Schneider-Esleben