I am in WP3.7.1 and TML won't send the email for verification to the newbies.
I have email verification set.
I see newbie "pending" in Users w/ Resend Activation link available.
I do get emails from WP for website stuff like when user is deleted "access denied" msg. is sent. So emailing works.
User has to go to Login > Resend Activation, then they get a TML email w/activation link. Problem with that is that it's not for the password the user chose for themself. It's a reset.
As soon as they click activation another msg is sent to them immediately with new pwd. They don't get to use the custom pwd they chose.