This is for SME 7.xhttp://mirror.contribs.org/smeserver//contribs/jbennett/sme7/lat/
I can confirm that, lazy admin and user names longer than 12 letters, didn't work for me either.
But did you change the SME Server settings to allow > 12 as per Ray's post?
No, I didn't, I assumed that since I was able to add usernames longer than 12 letters through server-manager,
it would work with lazy admin too (without any additional db settings), but it appears I was wrong.
If it doesn't work as you say with the lazy admin tool then please raise a bug against the contrib.
No, please don't do that, download the SRPM and make the appropriate changes.
I would be glad to do this, but I am still new to SME Server, and the whole template & database settings thing. Maybe after I go through the developers guide and get more experience with it.