Strange things happening

This time, fresh install.

1. Add vocabulary
2. Name=tags
3. Hierarchy=single
4. Related terms=true
5. Free tagging=true
6. Machine tagging=true
7. Multiple select=true
8. Require=true
9. Types=Story
10. Submit vocabulary.

11. Create a Story
12. Title=test
13. Body=best
14. tags=Nationality:German
15. Save story.

16. Check terms in vocabulary "tags"
17. Term 1 "Nationality:German"
18. Term 2 "nationality"

19. Edit the story
20. Tags shown: "nationality, Nationality:German"
21. Add tags: "Prize:Nobel Prize:Physics" (should show "nationality, Nationality:German, Prize:Nobel Prize:Physics")
22. Save story.

23. Check vocabulary "tags"
24. List shows 5 terms. "nobel prize" is duplicated.
25. Checking links for all terms in list reveals that terms 1,2,4,5 is shown (5 "nobel prize" 2 times).
26. Checking url in browser: ?q=taxonomy/term/3 is "german" with no tagged content.
27. Checking url in browser: ?q=taxonomy/term/6 is "physics" with no tagged content.
28. Checking url in browser: ?q=admin/content/taxonomy/edit/term/5 is "nobel prize", shows that only two parents are allowed "nationality" and "Nationality:German".

The module doesn't perform anything as advertised. Looking forward to a new alpha or even a beta :)