Windows Live Mail and IMAP

[#1]

Using WLM* with an IMAP account: when I delete a received email from the Inbox, the email vanishes completely. Poufff...gone.
Following normal IMAP practice, I had expected that it would either stay in the Inbox and be marked (with a deleted 'X' tag and strikethrough) or be moved to the Deleted box (again probably with a Delete tag), depending on whether the 'use the deleted items folder for IMAP accounts' option was ticked (in Tools / Options / Advanced tab).
Immediate deletion happens irrespective of whether either or both of the ' Empty messages from the Deleted items folder on exit' and 'Purge deleted messages when leaving IMAP folders' are set (in Tools / Options / Advanced / Maintenance).
A similar setup against the same PN mailbox using Outlook Express or Outlook 2003 works correctly.
Have any other WLM users experienced this?
* - build 14.0.80604.0206 and later running on on Win XP SP3

[#2]

Using Thuderbird via XP SP3 on one machine and this a Linux netbook, it moves it to the deleted sub box