When you say the LS exe, is it for JOB or 3G? You need a 3G client, the exe that comes with server files is what should be used. I just recently had the same problem, also means you can't equip items and that.
go to
http://mirfiles.kaorimir.com/ and get mir3full_121.exe then replace the existing exe with the one that is in mud3 of the server files.
Create a link on the desktop pointing to the client with params -u -c -n added, the target of the shortcut should look like:
"c:\blah\blah\mir3.exe" -u -c -n
If you need more help or I haven't explained myself well I can post screenshots, just point me in the direction you have problems with.
EDIT: I 100% know this is client btw, it has all the symptoms I had until I found the correct client.