Joomla 3.2.0 passwords issue (solution)

Joomla 3.2.0 is a result of terrible coding and total irresponsibility: users registration and password reset are broken and passwords are not recognized. Please note that Joomla 3.2.1+ doesn't have these issues.

We suffered from this a couple of days and finally propose a solution, though you can just install and downgrade.

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