use Net::SMTP::TLS http://search.cpan.org/~awestholm/Net-SMTP-TLS-0.12/lib/Net/SMTP/TLS.pm

It's the version made to properly support authentication. For whatever reason, Net::SMTP seems not to.

In reply to Re^2: Net::SMTP - Authentication Problem by Anonymous Monk
in thread Net::SMTP - Authentication Problem by vi_srikanth

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