I'm really sorry about your problems. I myself don't have K4NT, so I can't test it. The problems you describe are similar to those we had when using cr3runner to start Librerator before (self-relaunching, rebooting... see here
.), but it was fixable with hard reset of the Kindle.
Can you please give me some additional info? What K4NT do you have (black or silver)? What is the version of your firmware? What other hacks/custom software do you have installed? How did you install Kite (update package or manually)? How did you start Librerator (normal kite, kite with last file opened, ssh)? Anything else that you think might be helpful?
Anyone else - pleasse report your experience. It will help me fix it. Thank you.