gmail application specific password from registry not valid

Hi,
I installed the latest blat (see versions from debug below)
I connect to gmail using stunnel 5.06
gmail is using application specific password as described in URL link in debug.
 if I use the password from the installed profile gmail, it is not working.
 if I submit same password as argument (-pw mlhsjlthmcrcqczj) it works.
What is wrong with the registry password? Why is the gmail 16 characters application specific password not working?
BTW, I changed the password now ;-)

C:\Windows\system32>blat -install 127.0.0.1 [email protected] 1 25 gmail [email protected] mlhsjlthmcrcqczj
Blat v3.2.3 (build : Oct 19 2014 15:35:00)
64-bit Windows, Full, Unicode
 SMTP server set to 127.0.0.1 on port 25 with user [email protected], retry 1 time(s)
 C:\Windows\system32>blat "D:\testmail.txt" -to [email protected] -subject "Test Mail 2" -p gmail -debug
Blat v3.2.3 (build : Oct 19 2014 15:35:00)
64-bit Windows, Full, Unicode
 <<<getline<<< 220 mx.google.com ESMTP n4sm2649284wjb.40 - gsmtp
>>>putline>>> EHLO myhost.gmail.com
<<<getline<<< 250-mx.google.com at your service, [xxx.xxx.xxx.xxx]
<<<getline<<< 250-SIZE 35882577
<<<getline<<< 250-8BITMIME
<<<getline<<< 250-AUTH LOGIN PLAIN XOAUTH XOAUTH2 PLAIN-CLIENTTOKEN OAUTHBEARER
<<<getline<<< 250-ENHANCEDSTATUSCODES
<<<getline<<< 250-PIPELINING
<<<getline<<< 250-CHUNKING
<<<getline<<< 250 SMTPUTF8
Sending D:\testmail.txt to [email protected]
Subject: Test Mail 2
Login name is [email protected]
Try number 1 of 10.
>>>putline>>> AUTH PLAIN  *****
<<<getline<<< 534-5.7.9 Application-specific password required. Learn more at
<<<getline<<< 534 5.7.9 http://support.google.com/accounts/bin/answer.py?answer=185833 n4sm2649284wjb.40 - gsmtp
*** Warning ***  The SMTP server did not accept Auth PLAIN value.
*** Warning ***  Are your login userid and password correct?
>>>putline>>> AUTH LOGIN
<<<getline<<< 334 VXNlcm5hbWU6
>>>putline>>> XXXXXXXXXXXXXXX
<<<getline<<< 334 UGFzc3dvcmQ6
>>>putline>>> XXXXXXXXXXXXXXX
<<<getline<<< 534-5.7.9 Application-specific password required. Learn more at
<<<getline<<< 534 5.7.9 http://support.google.com/accounts/bin/answer.py?answer=185833 n4sm2649284wjb.40 - gsmtp
*** Warning ***  The SMTP server did not accept Auth LOGIN PASSWD value.
>>>putline>>> QUIT
<<<getline<<< 221 2.0.0 closing connection n4sm2649284wjb.40 - gsmtp