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If it converted to HTMLZ, then it was a Topaz file to begin with. If they import as AZW and still have DRM, then the plugin failed for some reason. You should report the details to Alf so debugging can take place.
And for the record AZW files (unless they are Topaz) are not being "converted" at all in the process. The DRM is just being removed and the file extension is being renamed to .mobi
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