Incorrect Client Version surely is pointing to the wrong eqgame.exe (that is not up to date). Are you sure your eqgame location for each profile member is correct?
That odd entry in your login box for EQ is due to how it was launched, so that mq2autologin sees it and changes it and takes off.
htw
Just to confirm, when setting up the Everquest Launcher in the MMOLoader you can setup your default eq directory and when you click on the directory for each account you are setting up, the directory path turns green. Does this indicate that it has effectively located the everquest.exe or is it just turning green because its the default?
Mine does turn green on the default locations.