Have managed to get telnet access by adding the relevant commands to the end of rcS rather than using run.sh.
That's also helped me to work out what's wrong: the run.sh file I was editing had an odd character in the first line (after #! /bin/sh). It was visible using vi but not my normal editor on my PC.
Thanks to KevinShort for all your help, and to PeterT, too, for your suggestion.
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