I think I am seeing this issue on Karmic.
I have likwise installed, and I am unable to change my password.

Using "users-admin"->"Properties"->"Change Password" locks up when 
authenticating, with the message"Checking Password".
Using "passwd" gives me "passwd: Authentication token manipulation error".

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likewise-open prevents local passwords from being changed
https://bugs.launchpad.net/bugs/302026
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