Facing error during installation into web host

PDOException: SQLSTATE[28000] [1045] Access denied for user 'user1'@'in3.hostgator.in' (using password: YES) in lock_may_be_available() (line 167 of /home/kenelect/public_html/home/includes/lock.inc).

I have created a site in local host and transferred to the webhost hostgator. I have done the following steps
Imported the local db from local host
Transferred files
Created a database and users
Changed settings in settings.php
array (
'database' => 'kenelect_ken',
'username' => 'user1',
'password' => 'XXXXXX',
'host' => 'www.kenelectric.com',
'port' => '',
'driver' => 'mysql',
'prefix' => '',
),

It looks everything is fine, I have created the database and gave full access using Mysql database tool in Hostgator. Below are my settings
When I try to give access using query in phpadmin.. I am getting a strangeerror

GRANT SELECT, INSERT, UPDATE, DELETE, CREATE, DROP, INDEX, ALTER
ON kenelect_ken.*
TO 'user1'@'in3.hostgator.in' IDENTIFIED BY 'XXXXX';

#1044 - Access denied for user 'kenelect'@'localhost' to database 'kenelect_ken'
I dont understand why it is displaying user as kenelect though I give user name as 'user1'