Sorry folks, for being such a jerk
Everything works right now - I simply made one big mistake - I copied both - install and uninstall.bin to root folder in kindle. I thought it was some kind of backup system - while install was not successful - kindle automatically runs uninstall.. - looks like "uninstall" was run after reboot or at the same time "install" was run - either way - it prevented it from correct installing (now ssh through putty works correctly).
It's all because KT is my first kindle and I didn't follow K3 jailbreaking. Forgive me for my ignorance. If I'm able to contribute/help in any way I'm willing to.
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