Telepathy-butterfly 0.5.5 has just been released, along with telepathy-python 0.15.16 and papyon 0.4.5.
Butterfly is the MSN connection manager, the "back-end" for MSN, for the Telepathy IM and VoIP framework. Telepathy python is a convenience module to use telepathy and papyon is a python MSN library.
Sadly in this release we had to disable the Audio/Video calls which were broken since Microsoft removed the necessary servers. For more informations on the subject I invite you to read Kakaroto's post
On the good news this release should resolve the issues with the lost messages thanks to William Grant excellent investigation of the issue and it should also fix some other annoying bugs.
This new papyon release don't display the password in the logs any more so I recommend using this version if you want to submit bug reports.
Hopefully the next butterfly release will bring you the long awaited File Transfer support. We will also have proper multi-user chat thanks to Jonny Lamb implementing the conference interface.